Odisha milk farmers demand cancellation of MoU

INDIA – Dairy farmers, under the Odisha Milk Farmers’ Association (OMFA), has urged for the cancellation of a MoU signed between the Odisha government, the National Dairy Development Board (NDDB), and the Odisha State Cooperative Milk Producers’ Federation (OMFED).

According to, OMFA President Rabi Behera, the agreement stated that all work of OMFED like packaging, quality control and marketing have been transferred to NDDB.

The agreement which he noted to be undermining the interests of local milk farmers is set to effectively transfers crucial responsibilities of OMFED, such as packaging, quality control, and marketing, to NDDB.

Behera highlighted that OMFED was established in 1980 to prevent the distress sale of milk and to provide affordable, quality milk products to consumers.

Its core mission was to uplift small and marginal farmers, unemployed youth, and women by making them self-reliant and financially stable.

In addition he said that transferring the operations of a profit-making organization like OMFED to a Gujarat-based entity like NDDB is unjustifiable.

He cited the case of Karnataka, where a similar attempt to transfer control of the state’s milk brand to NDDB was reversed following protests by local milk farmers.

Behera cautioned that if the Odisha government does not cancel the agreement, farmers will stage protests across the state.

The MoU, signed on September 13, 2024, aims to strengthen Odisha’s milk cooperatives and increase milk production.

It was finalized during the Monsoon Meet 2024, organized by the Ministry of Fisheries, Animal Husbandry & Dairying.

Odisha Chief Minister Mohan Charan Majhi emphasized that the government is prioritizing the livestock sector to boost farmers’ incomes, create livelihoods for unemployed youth, and support women’s groups.

“Our agenda has been clear, to create a comprehensive policy framework, that not only addresses immediate concerns, but also long-term development and sustainability“, he said.

Majhi highlighted the government’s roadmap for transformative changes, including the launch of the “Mukhyamantri Kamdhenu Yojana,” a new scheme with a budget of Rs. 1,423.47 crore over five years.

This initiative included support for small dairy units, subsidized calf feed, expanded livestock insurance coverage, and the strengthening of dairy cooperatives.

Despite these plans, the farmers’ association remains concerned about the implications of the MoU and has vowed to take action unless the agreement is revoked.

The situation is reminiscent of the challenges faced in Karnataka, where farmers successfully opposed a similar agreement with NDDB.

This followes a similar MoU signed in January 2024, where Odisha government signed a deal with National Dairy Development Board for new GMP facility.

Subscribe to our food and agriculture industry email newsletters that provide busy executives like you with the latest news insights and trends from Africa and the World. SUBSCRIBE HERE