The National Cooperative Dairy Federation of India (NCDFI) and the National Milk Grid are two pivotal institutions that have played a transformative role in the development of India’s dairy sector. These institutions emerged as part of the broader framework of Operation Flood and the White Revolution, and they continue to support the growth, stability, and self-reliance of the Indian dairy industry.
Role of NCDFI (National Cooperative Dairy Federation of India)
The NCDFI was established in 1970, with its headquarters in Anand, Gujarat, the birthplace of the dairy cooperative movement in India. It is the apex organisation of the dairy cooperatives in India, formed to represent their interests and facilitate coordination at the national level.
Key Roles and Functions of NCDFI:
1. Coordination Among Dairy Cooperatives
- Acts as a national-level platform for various state and district milk unions to coordinate dairy policies and operations.
- Helps dairy cooperatives work together efficiently for procurement, processing, and marketing of milk and milk products.
2. Marketing and Sales Support
- Facilitates inter-district and inter-state sale of surplus milk and milk products among member federations.
- Helps cooperatives access institutional markets, such as defence services, Indian Railways, and government procurement schemes.
3. Policy Advocacy
- Represents the interests of dairy cooperatives at the national level.
- Works closely with NDDB (National Dairy Development Board), the Department of Animal Husbandry and Dairying, and other agencies for policy formulation and advocacy.
4. Support for Fair Pricing
- Ensures that both producers and consumers benefit by promoting policies that keep milk prices stable and remunerative.
- Helps protect dairy farmers from exploitation by middlemen or private players.
5. E-Market Platform (NCDFI eMarket)
- NCDFI runs a digital trading platform called NCDFI eMarket, which enables transparent and competitive bidding for the sale of milk, skimmed milk powder, butter, and ghee.
- Encourages efficiency and transparency in the dairy trade.
6. Support for Export
- Assists cooperatives in exploring export markets for dairy products like milk powder, butter oil, and ghee.
- Helps in branding Indian dairy products in international markets under cooperative labels such as AMUL.
7. Capacity Building
- Organises training programmes, workshops, and seminars for member cooperatives on topics like hygiene, marketing, and cooperative governance.
- Promotes skill development and knowledge sharing among dairy farmers and cooperative staff.
Role of National Milk Grid
The National Milk Grid was one of the most significant outcomes of Operation Flood. It connected milk producers across rural India to urban markets through a well-organised and efficient network of collection, transportation, processing, and distribution.
Key Roles and Functions of National Milk Grid:
1. Balancing Supply and Demand
- Facilitated the transportation of milk from surplus rural regions (like Gujarat, Punjab, Rajasthan) to demand-heavy urban centres (like Delhi, Mumbai, Kolkata, Chennai).
- Reduced the dependence of cities on local or imported milk by connecting them to the national supply chain.
2. Ensuring Year-Round Milk Availability
- Helped in reducing seasonal fluctuations in milk supply by allowing milk to be transported from different regions as per availability.
- Ensured milk availability even in summer, when production drops.
3. Price Stabilisation
- Prevented sharp price hikes or crashes by distributing milk efficiently across regions based on demand.
- Provided stable income to farmers by removing regional price inequalities.
4. Creation of Chilling and Processing Infrastructure
- Led to the establishment of milk collection centres, chilling plants, processing units, and transport facilities across the country.
- Helped in reducing milk spoilage and improving quality and shelf life.
5. Consumer and Producer Benefit
- Consumers got access to pure, affordable milk in urban areas.
- Farmers received fair prices and a regular market for their milk, removing exploitation by middlemen.
6. Support to Cooperatives
- Strengthened the dairy cooperative model by integrating rural producers into the national market.
- Promoted the Anand Pattern, where producers are also the owners and beneficiaries of the system.
7. Encouragement of Rural Development
- The grid helped boost rural employment and incomes, particularly empowering women through self-help groups and milk cooperatives.
- Supported overall rural economic development and reduced urban migration.
Achievements Enabled by NCDFI and National Milk Grid
| Aspect | Contribution |
|---|---|
| Milk Production | India became the largest milk producer in the world, producing over 220 million tonnes annually. |
| Farmer Empowerment | Over 1 crore farmers, especially women, became part of cooperatives. |
| Price Stabilisation | Ensured fair prices for both producers and consumers across India. |
| Employment Generation | Provided rural employment opportunities, especially in remote and backward areas. |
| Nutrition Security | Increased per capita milk availability, improving nutrition levels. |
| Self-Reliance | Reduced dependency on milk imports; India became self-sufficient. |
| Technology Use | Adopted modern technologies like bulk milk coolers, AI centres, e-market platforms. |
Conclusion
The NCDFI and the National Milk Grid are vital pillars of India’s dairy revolution. While the NCDFI strengthened the institutional and cooperative structure, the National Milk Grid ensured the physical flow of milk across regions, making milk available, affordable, and accessible. Together, they helped in transforming dairy farming into a sustainable livelihood, ensuring food and nutrition security, and boosting the rural economy. Their roles continue to be essential as India moves towards doubling farmers’ income and achieving self-reliance in agriculture and allied sectors.