Madhya Pradesh Approves ₹1,547 Crore Dairy Processing Investment
The Madhya Pradesh cabinet, chaired by Chief Minister Mohan Yadav, approved a development package worth approximately ₹41,000 crore. About ₹2,973 crore of that amount is assigned to milk producers and dairy development, with ₹1,547 crore earmarked specifically for dairy processing capacity.
Rakesh Singh, the state’s public works minister, said the decisions would support dairy-product production and create additional opportunities for milk producers. The dairy measures form part of a wider package that also includes ₹29,619 crore for implementation of the VB Ram Ji Yojana.
Cooperative network
Under the state’s Dairy Development Scheme, the government plans to extend cooperative milk collection to more villages. Cooperative milk societies currently operate in about 7,331 villages. The stated target is coverage of 26,000 villages over the next five years.
The expansion is intended to bring more dairy farmers into the cooperative system and improve milk procurement, village-level collection, chilling and transport arrangements. The initiative follows guidance from Amit Shah, the Union cooperation and home minister, who advised Madhya Pradesh to increase the number of milk cooperatives and speed up dairy development.
Collection and processing targets
Daily milk collection in the state is currently around 1.2m kilograms. The approved plan sets a target of approximately 5.2m kilograms a day. Dairy processing capacity is also scheduled to rise, from about 1.78m litres per day to 6.33m litres per day.
The ₹1,547 crore processing allocation is intended to support a wider range of dairy products and the handling of additional milk supplies. The government has separately set a target for packaged milk sales to increase from roughly 700,000 litres a day to 3.5m litres.
Singh said the decisions were part of the government’s broader focus on agriculture and dairy activities and on improving livelihood opportunities for farmers and dairy farmers. The programme combines cooperative expansion, milk procurement and processing investments over the five-year implementation period.
