Bengaluru: Unusual pre-monsoon showers in May have posed a significant threat to the dairy sector. Experts fear the city may face a ‘white flood’—an overproduction of milk—in the coming days due to increased fodder growth. This overproduction could create multiple challenges for the Karnataka Milk Federation (KMF), including difficulties in procuring the surplus milk and a potential decrease in demand, which could negatively impact prices.
Karnataka has reported a significant 25 per cent increase in rainfall this month. This trend is expected to continue between June and September, with the Indian Meteorological Department (IMD) predicting a 106 per cent increase in rainfall between these months.
Initially, the milk overproduction was a relief to farmers who had suffered from drought and dry weather in preceding months. While the initial increase in milk production was welcomed by farmers, the issue of oversupply began to concern authorities later on.
Milk Overproduction May Cause Financial Strain On Farmers
Milk overproduction may also cause financial strain on farmers. The present situation is expected to impact government incentives for dairy farmers. Currently, the Karnataka government typically provides an incentive of Rs 5 per litre. Meanwhile, the KMF procures milk from 14 regional milk unions at rates ranging from Rs 33 to Rs 35 per litre, depending on fat content. However, the delay in disbursing these incentives could lead to financial strain on farmers.
“A response from the government is pending regarding the demand of milk producers to increase the incentive by at least Rs 2. Meanwhile, farmers’ dues have been pending for close to three quarters,” said Rajkumar HP, chairman of BAMUL (Bangalore Milk Union Ltd), which covers Bengaluru Rural, Chikkaballapur, and Ramanagara districts.
