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Dairy Co-Operatives And Milk Marketing In India: Constraints And Opportunities

Author

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  • Rajendran, K.
  • Mohanty, Samarendu

Abstract

Operation Flood and dairy co-operatives emerged in India as the largest rural employment scheme, enabling the modernization of the dairy sector to a level from where it can take off to meet not only the country's demand for milk and milk products but can also exploit global market opportunities. This study reviews the existing status of milk marketing and dairy co-operatives in India and provides recommendations to meet future challenges. The results of the study indicate that 80 percent of the milk produced by the rural producer is handled by an unorganized sector and the remaining 20 percent is handled by an organized sector. It is found that the dairy co-operatives play a vital role in alleviating rural poverty by augmenting rural milk production and marketing. Involvement of intermediaries; lack of bargaining power by the producers; and lack of infrastructure facilities for collection, storage, transportation, and processing are the major constraints which affect the prices received by producers in milk marketing. Milk quality, product development, infrastructure support development, and global marketing are found to be future challenges of India's milk marketing.

Suggested Citation

  • Rajendran, K. & Mohanty, Samarendu, 2004. "Dairy Co-Operatives And Milk Marketing In India: Constraints And Opportunities," Journal of Food Distribution Research, Food Distribution Research Society, vol. 35(2), pages 1-8, July.
  • Handle: RePEc:ags:jlofdr:27233
    DOI: 10.22004/ag.econ.27233
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    Citations

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    Cited by:

    1. Palsule-Desai, Omkar D., 2015. "Cooperatives for fruits and vegetables in emerging countries: Rationalization and impact of decentralization," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 81(C), pages 114-140.
    2. Digvijay S. Negi & Christopher B. Barrett, 2024. "Consumption Smoothing, Commodity Markets, and Informal Transfers," Working Papers 116, Ashoka University, Department of Economics.
    3. Liying Mu & Milind Dawande & Xianjun Geng & Vijay Mookerjee, 2016. "Milking the Quality Test: Improving the Milk Supply Chain Under Competing Collection Intermediaries," Management Science, INFORMS, vol. 62(5), pages 1259-1277, May.
    4. C Magesh Kumar & G Agalya, 2021. "Effectiveness of Distribution Channel in a Co-operative Dairy Plant: A Marketing Perspective," Shanlax International Journal of Management, Shanlax Journals, vol. 8(4), pages 47-53, April.
    5. Kumar, Anjani & Parappurathu, Shinoj & Joshi, P.K., 2013. "Structural Transformation in Dairy Sector of India," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 26(2).
    6. Ram Subramanian, 2019. "Prabhat Dairy: The Crossover Challenge in the Indian Market," Asian Journal of Management Cases, , vol. 16(2), pages 186-200, September.
    7. Tina L. Saitone & Richard J. Sexton & Benoît Malan, 2018. "Price premiums, payment delays, and default risk: understanding developing country farmers’ decisions to market through a cooperative or a private trader," Agricultural Economics, International Association of Agricultural Economists, vol. 49(3), pages 363-380, May.
    8. Vaibhavi Pingale & Niharika Singh, 2022. "Potential of Dairy Industry with Special Reference to Generating Employment in India," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 65(2), pages 519-532, June.
    9. Goutam Sutar & Rakesh Arrawatia & Krantiraditya Dhalmahapatra & Ashish Garg & Deepak Kumar, 2023. "Performance assessment of Dairy Cooperative Societies (DCSs): an AHP based composite index approach," Annals of Operations Research, Springer, vol. 326(2), pages 751-782, July.
    10. Lili Geng & Shaocong Yan & Qi Lu & Xiaomeng Liang & Yufei Li & Yongji Xue, 2023. "A Rural Land Share Cooperative System for Alleviating the Small, Scattered, and Weak Dilemma in Agricultural Development: The Cases of Tangyue, Zhouchong, and Chongzhou," Agriculture, MDPI, vol. 13(9), pages 1-17, August.

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    Keywords

    Agribusiness;

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