The Maharashtra cabinet today decided to provide Rs 3 subsidy for every litre of milk to the co-operative and private producers to manufacture milk powder.
An official in the Chief Minister’s Office (CMO) gave this information and said the decision was taken to encourage production of milk powder from surplus milk..
The decision will help balance the demand-and-supply of milk and producers can get Minimum Support Price (MSP) of Rs 27 per litre, the official said.
The decision would be applicable for a period of 30 days from the date of government resolution and only those milk power producers whose power manufacturing would be at least 20 percent higher than that of the month of March 2018.
Milk production in the state is at peak since past few days. Generally private as well as the cooperative dairies tend to produce milk power when milk production is high. However, due to fall in rates of milk powder in the national as well as the international markets, the dairies are not inclined to produce milk powder. Also, they tend to purchase milk at lower rates to compensate for the losses in making of milk powder. Hence, the government has decided to subsidise production of milk powder.