Press briefing of Cabinet Decision taken on 2011-01-05

Establishment of a Minimum Criteria for Procurement of Liquid Milk from Dairy Farmers

- on a proposal made by the Minister of Livestock and Rural Community Development Hon. Arumugan Thondaman in keeping with the Budget Proposals for 2011, Cabinet approval was granted to increase the minimum purchase price of fresh milk at farm gate to Rs.50/- per ltr. to promote milk production. The country has reached 35% self-reliance in local milk production and it is envisaged to become self sufficient in 2016, thereby saving a considerable amount of foreign exchange spent for the importation of milk powder.