Himachal Leads Dairy Reform with MSP on Milk, Empowering Over 38,000 Farmers

Himachal Pradesh has become the first state in India to implement a Minimum Support Price (MSP) on milk, with the government currently procuring cow milk from over 38,000 farmers and collecting an average of 2.25 lakh litres daily at a support price of Rs 51 per litre. In addition, 1,482 buffalo-rearers are contributing 7,800 litres per day, for which they are paid Rs 61 per litre, based on quality standards.

Chief Minister Sukhvinder Singh Sukhu emphasized that the reforms go beyond just improving production numbers. “It is about creating a sustainable ecosystem that values farmers, ensures quality and fosters inclusive growth,” he said.

A government spokesperson noted that these dairy initiatives reflect the state’s strong commitment to supporting livestock farmers and improving rural livelihoods. Over the past two-and-a-half years, Himachal Pradesh has introduced several significant reforms to empower dairy farmers and strengthen cooperative institutions.

To ease transportation challenges in hilly and remote regions, the state is providing a Rs 2 per litre transport subsidy, a move expected to significantly benefit small and marginal dairy farmers by reducing costs and improving access to markets.

Under the ambitious Him Ganga Yojana, aimed at transforming grassroots dairy farming, the state has formed a committee to set up milk producer cooperative societies at the village level. In the first phase of the scheme, 268 new dairy cooperatives have been formed in Hamirpur and Kangra districts. Of these, 11 in Hamirpur and 99 in Kangra have already been officially registered. Notably, 20 out of the 46 newly formed cooperatives in Hamirpur are women-led, highlighting the state government’s focus on empowering rural women.

In Kangra district alone, a total of 222 cooperatives have been established so far, and 5,166 farmers have been connected to these societies, ensuring their direct participation in structured milk production and marketing.

In a parallel initiative, the government has launched a pilot project for goat milk procurement, offering Rs 70 per litre to goat rearers. Currently, 100 litres of goat milk is being collected daily from 15 rearers as part of the pilot.

These reforms are part of a broader effort by the state to build a sustainable, inclusive, and market-linked dairy sector that supports both livelihoods and nutritional needs.

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