Assam’s Rs 5/Litre Milk Subsidy Boosts Procurement by 54.65%

Assam Chief Minister Himanta Biswa Sarma has said that the state government’s Rs 5-per-litre milk production subsidy has led to a significant improvement in the dairy sector, resulting in higher milk procurement and increased participation of farmers in dairy cooperative societies.Sharing the latest figures in a post on X on Friday, the chief minister said the subsidy has helped increase milk procurement in the state by 54.65 per cent, while membership in dairy cooperative societies has grown by 36.77 per cent since the incentive was introduced.”Our Rs 5/litre subsidy has driven a 54.65% surge in milk procurement and a 36.77% increase in cooperative membership, significantly strengthening the dairy ecosystem,” Sarma wrote in his post.

According to the data shared by the chief minister, the subsidy has encouraged more dairy farmers to join cooperative societies, contributing to higher milk collection and organised procurement across the state. Increased procurement is considered an important indicator of growth in dairy production and the expansion of organised marketing channels.The Assam government introduced the Rs 5-per-litre milk production incentive to support dairy farmers, improve their incomes and strengthen the state’s dairy value chain. The scheme aims to promote cooperative-led milk collection and procurement while encouraging more farmers to participate in the organised dairy sector.

The latest figures indicate that the incentive has contributed to expanding the state’s dairy network by improving farmer participation and increasing the volume of milk handled through cooperative institutions. The government has maintained that strengthening dairy cooperatives remains an important part of its efforts to enhance rural livelihoods and promote sustainable growth in the agriculture and allied sectors.