Amul Takes Stand Against Duty Concession for Dairy Imports
Source: The DairyNews
At the BL Agri & Commodity Summit 2024, Jayen Mehta, Managing Director of Amul, declared the Indian dairy industry's opposition to allowing imports of dairy products at concessional duty under free trade agreements (FTAs). The aim is to safeguard the livelihoods of 10 crore farmers dependent on the milk sector.
Responding to Australia seeking duty concessions for its dairy products, Mehta asserted that they will demand the exclusion of Chapter 4, which permits duty concessions for imports. He emphasized the government's awareness of the sensitivity of agriculture and dairy in negotiations, ensuring no offensive interests are allowed.
Mehta highlighted the disparities in import duties, citing the European Union's non-permissive stance, Canada's 250% duty, and the US imposing 50-60% duty, while India levies 30% for butter and 50-60% for milk powder. He stressed that seeking duty concessions for dairy imports is not appropriate.
Amid financial constraints, own-label cheese has gained market share, but as finances recover, there's potential for encouraging trading up to speciality cheeses and branded options. Mehta also discussed Amul's plans for investments in the food sector, leveraging its brand.
On the topic of sustainability, Mehta noted a potential longer-term uptick, particularly in vegetable-led dishes, creating opportunities for cheese. Amul's entry into Sri Lanka and Africa, along with its focus on building strong co-operatives within India, was also discussed. Mehta highlighted Amul's protein-rich products sector entry, tapping whey from cheese to address protein deficiencies among Indian vegetarians.
Mehta highlighted the disparities in import duties, citing the European Union's non-permissive stance, Canada's 250% duty, and the US imposing 50-60% duty, while India levies 30% for butter and 50-60% for milk powder. He stressed that seeking duty concessions for dairy imports is not appropriate.
Amid financial constraints, own-label cheese has gained market share, but as finances recover, there's potential for encouraging trading up to speciality cheeses and branded options. Mehta also discussed Amul's plans for investments in the food sector, leveraging its brand.
On the topic of sustainability, Mehta noted a potential longer-term uptick, particularly in vegetable-led dishes, creating opportunities for cheese. Amul's entry into Sri Lanka and Africa, along with its focus on building strong co-operatives within India, was also discussed. Mehta highlighted Amul's protein-rich products sector entry, tapping whey from cheese to address protein deficiencies among Indian vegetarians.
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