Dairy Cooperatives in Tribal and Remote Areas – A Model for Inclusive Growth

Dairy Cooperatives in Tribal and Remote Areas – A Model for Inclusive Growth

Rohith Krishnan M
BVSc& AH Student, CVAS Mannuthy, Kerala Veterinary and Animal Sciences University

Abstract

Inclusive growth seeks to promote equitable socio-economic development by integrating marginalized communities, particularly those in tribal and remote regions, into the broader economic framework. This study examines the transformative potential of dairy cooperatives in fostering sustainable livelihoods, enhancing nutritional security, and facilitating holistic community development among tribal populations. Anchored in the cooperative model pioneered by visionaries such as Dr. Verghese Kurien, dairy collectives provide small-scale and often unorganized farmers with access to structured markets, veterinary services, and institutional financial support.

The paper delineates the multifaceted socio-economic benefits conferred by such cooperatives, including income augmentation, health improvement, women’s empowerment, and infrastructural advancement. Simultaneously, it addresses enduring challenges such as inadequate physical infrastructure, low-productivity livestock, and limited technological penetration. Government interventions, notably the Rashtriya Gokul Mission and the National Digital Livestock Mission, are analyzed as strategic responses to these constraints.

Through case studies from Gujarat, Odisha, Assam, and Maharashtra, the research underscores the tangible impacts of effectively managed dairy cooperatives. The study concludes that when reinforced by comprehensive policy frameworks and active community participation, dairy cooperatives constitute a critical mechanism for achieving and advancing inclusive growth and socio-economic integration in India’s tribal regions

Key words: tribal, empowerment, dairy cooperatives, inclusive growth

Introduction

India is one of the fastest-growing economies globally and holds a leading position in total milk production. A significant portion of the Indian population (over 70%) depends on agriculture and allied activities, including animal husbandry, for their livelihood. Within this framework, the livestock sector plays a crucial role, contributing approximately 4.11% to the national Gross Domestic Product (GDP) and 25.6% to the Agricultural GDP. The country possesses vast and diverse livestock resources, which serve as a critical source of employment, engaging nearly 18.8% of the population. This underscores the socio-economic importance of the livestock sector in supporting rural livelihoods and driving inclusive economic growth in India.

The term ‘inclusive growth” represents a socio-economic progress that provides opportunities for all segments in the society, particularly the sidelined. In our country, people belonging to tribal and remote areas are often disempowered and excluded from mainstream development due to constraints like geographic isolation, lack of infrastructure and awareness, educational disparities, language and cultural barriers, etc.

Animal farmers, especially those from tribal and rural areas, are largely unorganised, and they often find their livelihood by rearing indigenous cows and buffaloes, but challenges like low yield per animal, traditional farming practices, and exploitation at the market level often leave them where they started. They don’t even have a political backing to bargain on their behalf. This is exactly where the necessity of dairy cooperatives comes into play.

DAIRY COOPERATIVES  

“Milk is the only commodity which has to be collected twice a day, every day of the year, thus cooperatives are the only logical system for the dairy industry, which empower farmers to be both farmers and producers” said by Dr. Varghese Kurian, reflects his long-time vision for empowering rural India through self-sustaining dairy cooperatives.

Dairy cooperatives are member-owned institutions that collect, process, and market milk and dairy products. Their inclusive structure allows small-scale farmers, including tribal households, to participate in economic activities with shared ownership and democratic control. The concept of dairy cooperatives was conceived by late Tribhuvandas Kishibhai Patel and was well executed by late Dr. Vargheese Kurien with the aim of uplifting farming community to become more organised. Kaira District Cooperative Milk Producers Union Limited, Gujarat, today known as AMUL, is one among the first established dairy cooperatives, which still functions as a role model for other states to emulate under the aegis of National Dairy Development Board (NDDB) of which Dr. Vargheese Kurian was the founder chairman.

BENEFITS OF DAIRY COOPERATIVES IN TRIBAL AND REMOTE AREAS

1. Socio-economic empowerment

Through dairy cooperatives, regular income via milk sales could be achieved, and it enables people to achieve diversified livelihoods beyond farming and forest-based activities. It also serves as a platform that strengthens community bonds and decision-making skills, especially for women, via their increased participation in cooperatives.

2. Improved health and nutrition

Enhanced awareness of hygiene and animal care can be provided through dairy cooperatives, along with accessibility to milk and dairy products at a lower price, helps them to conquer the crisis of malnutrition and to lead a healthy, hygienic life

3. Overall infrastructural development

Successful and sustainable cooperatives not only help in achieving financial growth, but also encourage other developmental initiatives like schools, healthcare centres, etc., and thereby uplift their quality of life.

Though dairy cooperatives serve as a millennial tool for empowerment and growth, their implementation is not as easy as it seems, especially in tribal areas where dairy farming faces several unique constraints that can limit its productivity and sustainability.

CHALLENGES

1. Lack of infrastructure

Poor infrastructure facilities like inadequate roads and cold storage facilities, can hinder the procurement and marketing of milk and milk products from tribal areas.

2. Low genetic quality of livestock and poor management

Low-yielding indigenous breeds, along with inadequate housing and management practices contribute to poor animal health and lower milk production. In a recent survey conducted among tribals of the northern hills zone in Chhattisgarh, it was found that more than half (56.33%), falling under the category of subsistence level of dairy production system are rearing nondescript cows having an average milk production of around 1.24L/animal. Same was the condition with tribal dairy farmers of the Chotanagpur region.

3. Limited access to veterinary care and resources

Lack of veterinary healthcare and access to modern technologies like artificial insemination for generating superior quality animals, improved fodder cultivation techniques, mineral mixtures, bypass protein enriched feeds and vitamin supplements etc, are some of the major constraints faced by them.

4. Low initial awareness and resistance to organised structure

Low literacy rates among tribal farmers and frequent episodes of exploits from middlemen and pre-existing dairy vendors make it difficult for them to understand and adopt new dairy farming practices.

So, until and unless these problems are effectively addressed and resolved, true empowerment of the marginalized and inclusive national growth will remain unattainable.

REMEDIES / RECOMMENDATIONS TO ADDRESS THE CONSTRAINTS

The initiatives adopted to overcome constraints mainly include:

1. Enhancing productivity in bovines

The Rashtriya Gokul Mission is a program in India, launched in 2014, to improve the livelihood of rural farmers through improved livestock management. It aims to improve milk production and productivity of both indigenous and nondescript cattle and buffaloes using advanced technologies, including use of high genetic merit bulls and artificial insemination, along with easy access to quality veterinary care and feed².

2. Improving the infrastructure

Infrastructure forms the backbone of economic development by providing the necessary foundation of physical and social systems through sustained growth. That’s why government and policymakers must and always prioritize infrastructure development, ensuring adequate investment, effective planning, and efficient management. Strategies to strengthen the procurement and marketing system in case of dairy sector should also be considered.

Pradhan Mantri PVTG Development Mission, Pradhan Mantri Adi Adarsh Gram Yojana (PMAAGY), Tribal Sub Plan, etc are some of the remarkable policies introduced by the government of India for tribal sectors with the aim of improvising socio-economic conditions, providing access to education, health and basic amenities and thereby improvising their living conditions⁵.

3. Transparency

One thing that constantly holds back people of rural areas from welcoming new intiatives are the constant exploitation by the group that plays the middleman role and gains all the benefits that are actually meant for the sidelined. Therefore, transparency should be a key priority and active participation, especially of the tribal households must be encouraged so that they will feel considered and valued. The National Digital Livestock Mission uses a digital database (BHARATH PASUDHAN) that helps in tracking livestock and ensures traceability, which can improve transparency in the dairy sector⁴.

4. Overcoming technological gap

Tribal farmers often lack knowledge of modern dairy technologies and farming practices, which can impact milk production and quality, therefore, training programs and skill development sessions should be arranged to make them aware of effective dairy farming practices, including feed production, dairy management etc.

SUCCESS STORIES

Revolutionary Impact upon the lives of the downtrodden due to the successful implementation and management of dairy cooperatives among rural and tribal areas can be seen in India. Some of them are;

1. Vasudhara Dairy Cooperative, Gujarat

Established in 1973, it initiated dairy development activities in 1975. Operating under the AMUL brand, it’s primarily focused on tribal women’s participation and on addressing the constant exploitation of marginalized society belonging to tribal districts of Gujarat like Valsad, Navsari, and Dangs, by the traders and agents of other dairy plants. Vasudhara collects, processes, and markets milk and a variety of dairy products, including ghee. Today, it has expanded its capacity over time, now processing 40,000 litres/day, reaching a substantial annual revenue of around Rs 1,000 crore. Beyond the economic impact, it also succeeded in improving the social status and livelihood of around 1,20,000 Adivasi women and their families¹.

2. OMFED (Orissa State Cooperative Producers Federation),

A central government scheme, established in 1985, based on the AMUL pattern under Operation Flood II. It operates in a three-tier system that aims to develop tribal areas through dairy cooperatives, particularly benefiting women by providing resources like first aid, cattle feed, artificial insemination, and veterinary services. More than 9000 tribal women from nine districts in Orissa are getting benefitted through around 300 women’s dairy cooperatives, earning around 800 crores/year³.

3. Sitajakhala Dugdha Utpadak Samabai Samiti, Assam  

Founded in 1958 by Nandalal Upadhyay and Sabilal Sharma along with their group of 17 farmers from Amlighat village in Morigaon district, with the primary aim of wiping out middlemen, currently functions as central Assam’s only milk producers’ society. Today it has over 1000 members, processing around 12,000 liters of milk/day, collecting from 800 farmers over 110 blocks. The society provides free vaccination to cows registered under them. They are now planning to help farmers to increase the milk production capacity of cows by facilitating them with semen of better breeds of cows and also sex-sorted semen for artificial insemination so that only female calves are born. Additionally, they are now planning to set up a silage storage unit and also to provide financial assistance for maize cultivation and establishing a mineral mixture plant⁶.

4. Nashik Tribal Milk Cooperative Federation, Maharashtra

In Nashik, tribal communities from Igatpuri and Trimbakeshwar have formed nearly 80 cooperative milk societies, each with about 40 members, in 2014. Supported by Dev Mogra Mata Adivasi Sevabhai Sanstha, these societies aim to establish Doodh Sangh (UNITY BY MILK) for the region, fair pricing, access to veterinary services, and financial support to over 6000 tribal families⁷.

These cooperatives exemplify how dairy initiatives backed by proper implementation and management can empower tribal communities and transform their lives.

   CONCLUSION

Dairy cooperatives have the potential to be engines of inclusive growth in tribal and remote areas. they not only enhance incomes but also build resilient communities. With supportive policies, capacity building, and community participation, these cooperatives can ensure that no part of the country is left behind in the journey of development and thereby contribute to the nation’s inclusive growth.

REFERENCES

1. Baviskar, A. (2015)‘The Vasudhara Adivasi dairy cooperative’, Economic and Political Weekly, 50(7), pp. 21–24. Available at: https://www.epw.in/journal/2015/7/commentary/vasudhara-adivasi-dairy-cooperative.html (Accessed: 26 May 2025).
2. Department of Animal Husbandry and Dairying (n.d.) Rashtriya Gokul Mission (RGM). Government of India. Available at: https://dahd.gov.in/schemes/programmes/rashtriya_gokul_mission(Accessed: 26 May 2025).
3. National Dairy Development Board (n.d.)Orissa State Cooperative Milk Producers’ Federation Limited (OMFED). Dairy Knowledge Portal. Available at: https://www.dairyknowledge.in/dkp/link/orissa-state-cooperative-milk-producers-federation-limited-omfed (Accessed: 26 May 2025).
4. Press Information Bureau (2024)Department of Animal Husbandry and Dairying signs MOU with UNDP to enhance digital capabilities in livestock sector. Government of India. Available at: https://www.pib.gov.in/PressReleaseIframePage.aspx?PRID=2015100 (Accessed: 26 May 2025).
5. Press Information Bureau (2024)Empowering tribal society: Initiatives for socio-economic development. Government of India. Available at: https://static.pib.gov.in/WriteReadData/specificdocs/documents/2024/nov/doc20241115435301.pdf (Accessed: 26 May 2025).
6. Tiwari, S. (2022)‘Sitajakhala: An inspiring success story of Assam’s co-operative society’, NorthEast Now, 15 July. Available at: https://nenow.in/business/sitajakhala-an-inspiring-success-story-of-assams-co-operative-society.html (Accessed: 26 May 2025).
7. TNN (2014)‘State’s first tribal milk co-operative in diststate coming up in Nashik’, The Times of India, 14 August. Available at: https://timesofindia.indiatimes.com/city/nashik/states-first-tribal-milk-co-operative-in-diststate-coming-up-in-nashik/articleshow/40241494.cms (Accessed: 26 May 2025).

Please follow and like us: