The State-run Orissa State Cooperative Milk Producers’ Federation limited (Omfed) would sign a memorandum of understanding (MoU) with the Gujarat-based milk major Amul to expand its capacity.
It was informed by Omfed Chairman and Managing Director Bishnupada Sethi on Wednesday.
Sethi said Omfed officials have already held discussions with top officials of the Amul for collaboration.
He said the Omfed procures six lakh litres milk per day against an average procurement of 4.45 lakh litres during 2014-15. It became a headache for the cooperative federation to dispose of surplus milk, he added.
As the milk production goes up, Sethi said, the Omfed wants to sell its milk in other States after fulfilling Odisha’s demands. In this way, the Amul has agreed to receive Omfed milk at its Kolkata plant, he informed.
Amul, which is now a famous brand, has assured the Omfed to improve quality of the milk by sharing knowledge about procurement, processing, quality control and marketing of products.
Sethi said Amul would also help the Omfed double its ice cream manufacturing capacity at the Bhubaneswar dairy by sharing its expertise.
Notably, The Pioneer had reported a story headlined ‘Bumper production: Milk cheaper than water’ on Monday about the distress sale of milk in Jagatsinghpur district. Due to lack of storage system and proper marketing system, farmers sell milk at lower prices than the market rates.