CM Vijay visits Madhavaram dairy and opens Aavin lab building
Vijay toured the Central Dairy after opening the new annex, which was built at a cost of Rs 2.23 crore. He reviewed procurement, processing and distribution work and asked officials for details on the supply of packaged milk to different parts of Chennai. He also examined construction of another dairy facility within the complex.
The Madhavaram plant produces between 400,000 and 450,000 litres of milk a day, according to information provided during the visit. It processes and markets between 300,000 and 360,000 litres daily, distributing packaged milk through more than 45 routes across Chennai.
The complex includes cooling facilities and storage rooms with capacity for 80 metric tonnes of milk powder. The information was provided as residents reported that stocks at retail outlets were being exhausted quickly. Some consumers said they had temporarily shifted to private dairy brands, which generally cost more than Aavin’s subsidised products.
Officials have not publicly identified a single cause for the reported shortages. The complaints emerged as the state government raised the procurement price paid to milk producers twice within one month.
On August 19, the government increased the procurement price through cooperative societies by Rs 1 a litre and raised its own incentive from Rs 3 to Rs 5. The combined rate rose from Rs 38 to Rs 41 a litre. Less than two weeks later, Vijay announced a further Rs 3 increase, bringing the rate to Rs 44 a litre.
The second increase was announced in the state assembly under Rule 110. Vijay cited higher cattle-feed and other input costs. The government said more than 316,000 producers supplying primary dairy cooperative societies would benefit, while the state would reimburse Aavin for the additional expense, estimated at about Rs 720 crore a year.
The procurement issue had been raised in the assembly before the second revision. DMK whip E V Velu, former chief minister Edappadi K Palaniswami and other legislators discussed producer costs and milk pricing through a special call-attention motion. The government subsequently announced the additional increase.
