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A Bi-Monthly Magazine Devoted to Milk, Milk-Products & Allied Sectors

A Group Publication of Advance Info Media & Events

Vol. 03, Issue 01, February- March 2018 20/-

Let's talk about bacteria Cattle Breeding Policy

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CONTENTS

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28

RG.Chandramogan bags Patronship award of IDA

41

Ananda Dairy opens 105 stores in Delhi/NCR 12

India will become largest milk producer: Radha Mohan Yakult Danone India expands portfolio with Yakult light launch

Facial recognition the next big thing for dairy industry

Let’s talk about bacteria 30

14

Dairy industry in India is not about 20-30 pc EBITDA: Sodhi Rs. 6,000 crore can change face of dairy industry: Badal 15

Vancouver Island farmer milks tech skills to combat dairy industry hitch

Cattle Breeding Policy

42

€2m partnership to develop artificial intelligence for farmers Future of dairy depends on sustainable and responsible production 43

Fonterra A2 move is a big deal 44

An investment of Rs. 500 cr by Ananda Dairy in UP 16

32

Why are small dairy farmers in India out of business?

A blockchain for the Dairy industry?

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Remote sensing centre in Gujarat to estimate fodder production Amul bets high on dining-out culture 20

New beetroot – to revolutionise the dairy industry! Kerala wary about RCEP that might impact domestic dairy industry 22

Telangana Plans milk procurement facility near Shamirpet Tripura dairy farmers unable to get minimum price of milk 24

Industry adopts advance technology to cope with increasing demand Dairy sector anticipates to reach 15% CAGR till 2020 to Rs 9.4 trillion 25

Motihari gets its first dairy plant 26

Kisan Cards for animal husbandry by Andhra Pradesh govt. Elanpro Introduces Compact Chest Freezer With Drawer 27

40 mn cows to get Aadhaar number in 1st phase

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Dairy dreams: A not-so-white vision 34

National Dairy Farmers Assuring Responsible Management

How Blockchain Technology Is Improving Food Supply Chains 46

Long Clawson Dairy expands US headquarters 35

Seize the ‘global opportunity’: ICOS to Irish dairy sector 36

New Fonterra bottled milk explores Chinese appetite for online shopping Increasing global demand boosts Idaho dairy exports opportunity

Don’t waste your money on the wrong inoculant 48

37

Irish Butter exports rise 60pc since last year 38

Arla Foods in JV with Indofood CBP for expansion in Indonesia Former Dairy Makes First Commercial Peanut Milk

The Milk House:

Quick, overly simple explanation of global agricultural politics 50

39

Bega Cheese achieves best cheddar in 2018 Australian Grand Dairy Awards 40

International Dairy Federation appoints new Director General

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The Milky Way: A Constellation of Cows


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8 A Bi-Monthly Magazine Devoted to Milk, Milk-Products & Allied Sectors

A Group Publication of Advance Info Media & Events

Vol. 03, Issue 01, February- March 2018 20/-

Editor In Chief Dr. J.V. Parekh Group Editor Firoz H. Naqvi firoz@advanceinfomedia.com Marketing Executive S.H.Hasni hasan@advanceinfomedia.com Production Manager Syed Shahnawaz Naqvi General Manager Gyanendra Trivedi Graphic Designer Naved H. Kazmi naved@advanceinfomedia.com Circulation Chandni Naqvi chandni@advanceinfomedia.com Marketing & Circulation Office 121, 1st floor, Rassaz Multiplex, Station Road, Mira Road (E), Dist. Thane- 401107 Telefax : +91-22-28555069, Tel.: +91-22-28115068 Mob.: +91-9867992299 E-mail: info@agronfoodprocessing.com sub@advanceinfomedia.com Vol. 03 Issue 01, February -March 2018 Annual Subscription Rs.600/By Normal Post Add Rs. 400/-For Courier Charges (Annual) Add Rs. 50/- For Outstation Charges Overseas $80 By Air Mail Email:sub@advanveinfomedia.com Single Copy Cost Rs. 100/Printed, Published & Owned by Firoz H. Naqvi RNI No. MAHENG13830 Regd. Office Advance Info Media & Event 103, AmarJyot Apartments, Pooja Nagar, Mira Road (E) Dist.Thane-401107(Mumbai) Printed At Rolleract Press Services A-83, Ground Floor, Naraina Industrial Area Phase-1, New Delhi -110028

The views expressed in this issue are those of the contributors and are not necessarily those of the magazine. Though every care has been taken to ensure the accuracy and authenticity of the infomation,"Dairy Times" is however not responsible for damages caused by misinterpretation of information expressed and implied within the pages of this issue. All disputes are to be referred to Mumbai Jurisdiction.

D

airy industry has hailed the 2018-19 budget provisions for the sector as first major boost after operation flood. Rs 10,000 crore fund will help the dairy industry in upgrading and modernizing the milk procurement, processing and marketing operation. This will also help improve cash flows to the farmers and enhance their farming efficiency and credit worthiness. Kisan Credit Card to Dairy farmers and fisheries will facilitate farmers to have better cash flow and improve credibility thus improving business growth. Issuance of Kisan Credit Card to the diary sector has leveraged its locus in the range of agricultural sector. Dairy farmers are usually landless and the extension of KCC will help improve his credit worthiness. India is contributing about 20% of world milk production at around 167 million metric tonne and we are growing at the rate of 4.5%. World is growing at the rate of around 1.8%. Out of 1.8% growth, 1% is coming from India. The production of milk is rated highest above any crop or food produced in India. It is worth around Rs 6.5 lakh crore, much more than paddy and wheat put together. Till the ‘70s, the per capita consumption of milk in India was only 110 gram per person per day, but today the scenario has transformed. It is 360 gram per person per day and growing on. In another 50 years, our per capita consumption will be equal to that of the US, attaining about 800 grams per person per day, which is already there in some parts. As compared to the European Union, India’s production of 160 million metric tonne equals to 28 European countries. Thus statistically the European milk production may be going stagnant, while India’s production is up in the way i.e. we are growing 20% higher in six to seven years. Kerala government has voiced concern about possible repercussions of regional comprehensive economic partnership (RCEP) agreement on small and marginal dairy farmers in Kerala as it would open up the dairy sector to competition from developed countries. State government requested the Central government to `revisit and revise the RCEP objectives’ so that external competition from developed countries to Kerala can be prevented. RCEP is the proposed mega regional free trade agreement between 16 Asia-Pacific countries including India and ten member nations of ASEAN. It is likely to be signed this year. Kerala demanded Central government to hold consultations with all state governments before signing RCEP. The dairy development department of Maharashtra has intensely opposed the state environment department’s proposal to ban milk pouches in Maharashtra irrespective of its thickness. The department said milk manufacturers and suppliers would have had no option if milk pouches were banned and it could impact the supply of milk. However, state environment department is planning to go ahead by introducing a buyback depository scheme according to which the consumer will have to pay 50 paise extra for each pouch. The consumer will get their money back if they return the pouch to the shopkeeper. While permitting the plastic pouches of not less than 50 microns for supplying milk, government asked the milk dairies and distributors to make efforts to develop alternative system with glass bottles or any other environment friendly material for distribution of milk. Dairy times would like to congratulate Dr.G.S. Rajorhia for taking over as the President of Indian Dairy Association for the term 2018-20. The long time contributions by Dr. Rajorhia to Indian dairy industry and the IDA during the last 50 years will enable dairy industry to take forward. There is a strong need for establishing permanent linkages among milk producers, dairy industry, research and academia and to build new crop of entrepreneurs making dairying more vibrant. Many congratulation to Dr. Rajhoria- President, Dr. Satish Kulkarni, Mr. A. K. Kosla- Vice President, Mr.R.S. Sodhi, Dr. Geeta Patel, Dr. J. V. Parekh, Dr. K. S. Ramachandra- Members (General Category), Dr. S. K. Kanawjia, Dr. G. R. Patil- Members- (RE Category), Mr. Sudhir Kumar Singh, Mr . Rajesh Subramanian- Members- (DI Category), Mr. Kirit K. Mehta, Mr. Ram Chandra Choudhary- Members- (MP Category), Dr. Raja Rathinam, Dr. T. K. MukhopadhyayMembers - (PP Category) for organizing such a big and grand event in Kochi. 46th Annual Dairy Industry Conference will surely boost the industry and will help in Indian dairy growth. We wish good luck & success to CEC team for the term 2018-20.

Advisory Board Mr. R.P. Banerjee SSP Pvt. Ltd- Faridabad

Mr. B.M. Vyas Former M.D Amul Anand

Dr. G.S. Rajorhia Former Principal Scientist, NDRI, Karnal

Mr. V.K. Ghoda Sr. Consultant, Perfect Solution, Vadodarra Mr. Vijay Jailkhani Team Ldr, Schreiber Dynamix, Baramati

Dr. Mukund Naware Consultant, Mumbai

Dr. Harsev Singh Ms. Racheline Levi Chief Executive Officer Team Expert, Adepta France

Mr. Devendra Bhai Shah Chairman, Parag Milk Food, Mumbai Mr. Nitin Jain Aurum Equity Partners, Gurugram

Mr. H.R. Dave Deputy M.D Nabard, Mumbai

Dr. B.N. Mathur Former Director, NDRI, Karnal

Dr. K.R. Rao Former CGM, Nabard, Hyderabad

Mr. Subhash Vaidya CEO Dairy Tech Consultancy Serv Mumbai Mr. Dileep Dravid MD & Agro Dairy & Food CS Anand

Dairy Times

Dr. Satish Kulkarni Consultant,Bengaluru

Dr. J.B. Prajapati Principal & Dean, SMC Collage of Dairy Science, Anand

Dr. Ashok Patel Fr. Princ Scientist & Head, Dairy Technology NDRI Karnal Dr. Suresh B. Gokhale Director Research BAIF UruliKanchan, Pune

Mr. Vivek Nirmal MD Prabhat Dairy Mumbai

Dr. Trevor Tomkins President, Venture Dairy U.S.A


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RG.Chandramogan bags Patronship award of IDA

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h e n nai-based firm,Hatsun Agro Product Limited Chairman and Managing Director R G Chandramogan was conferred with prestigious ‘Patronship’ award by the Indian Dairy Association (IDA). Hatsun Agro Product (HAP) manufactures dairy products catering to both cooking and consumption like milk, curd, ice creams, dairy whitener, skimmed milk powder, ghee, paneer and others.

the back end support services to farmers are recognized at national level.” Chandramogan is the person behind the successful growth of Hatsun Agro Product (HAP), as it has gained popularity in different regions of Chennai and other parts of India. Since its inception, the company has grown to reach the pinnacles of success thereby making it a national name in the country. Creating headlines time and again, HAP is a true testimonial which hit the right chords at the right time. Chandramogan built Rs. 8,000 crore business with merely Rs 13,000 in his pocket under the brand Arun Ice Creams. The company can proudly claim to be known as the largest private dairy in India.

The award was given in recognition of his outstanding services rendered in furthering the growth of the Indian Dairy Industry and the cause of IDA. The citation read ‘this patronship is a fitting tribute to Chandramogan for his exemplary role in the development of the dairy industry and his numerous contributions to its progress.’The key focus of the company is to provide quality products and have a technically advanced system that works in accord ance with a time-tested business processes across their 16 plants. It has gained popularity over the years in the market.

He started to chase his dreams when he was 21-years old. He had to drop out from school because of financial constraints, and the journey towards building this brand had a humble start. In 1970, he rented out a 250-sqft space in Royapuram with three employees. The first 10 years of starting up meant exploring conventional spaces of reaching out to possible customers.

Chandramogan is the first individual from private sector dairy to receive this honour. The award was given at 46th Dairy Industry Conference held at Kochi. The tribute is annually presented to a person with outstanding academic or professional achievements in dairy science and technology. On this accomplishment, he said that this award was a testament to the achievements of the organization in terms of excellence in quality, innovation and commitment to enrich lives of farmers and consumers. “We are glad that our efforts including

Continuing their success story, the company has joined hands with international firm to enhance their production capacity of the products. Hatsun Agro - an ice-cream and dairy products giant player in southern India, will soon use a rather unusual production input: steam for the manufacture of ice-creams. Germany-based company called Protarget has put up a parabolic trough system next to Hatsun’s ice-cream factory near Salem, in western Tamil Nadu. This which will produce 400 kg of steam an hour using sun’s heat. The steam is piped to the ice-cream plant where it is used for pasteurising milk. Hatsun-Protarget deal is different because the steam is made with solar energy. Solar energy expert and Manag-

ing Director of Sun Best, Dr. C. Palaniappan said that Hatsun has also put up a solar-water heater system, which produces hot water for its operations, mainly for cleaning its tanks, on the roof of its ice-cream plant in Salem. The system was sold to Hatsun and the plant cost Rs.1 crore, but Hatsun could avail itself of a subsidy of Rs. 42 lakh from the Ministry of New and Renewable Energy. The cost to Hatsun would be paid back in four years, while the life of the 220 units of solar heat collectors is 20 years. The collectors produce 32,000 litres of hot water, which is 87 degrees hot when it reaches Hatsun’s plant. With both steam and hot water produced from sun’s energy, Hatsun actually produces solar ice-cream. Placing major emphasis on dairy segment, HAP has commenced operations at its cattle feed production facility with the introduction of a new production line in Chennai. R.C. Chandarmogan said “our cattle feed has the best of ingredients and essential nutrients that improves the cattle’s health and milk yield. Cattle feed is a key component of our support service to farmers. This expansion facilitates our intention for continuous and consistent support to our farmers who seek good quality feed for their cattle”, In Tamil Nadu, Karnataka, Andhra Pradesh, and Goa, Arokya and Gomatha are two milk product lines. The company has dairy units located in Kancheepuram, Salem, and Madurai for markets in Tamil Nadu and Belgaum for markets in northern Karnataka and Goa. Arun Ice Creams is a popular ice cream brand in South India, with over 1,000 exclusive parlours.

Ananda Dairy opens 105 stores in Delhi/NCR

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nanda Dairy announced opening of 105 stores, owned and operated by itself, in Delhi and the NCR region, to expand its footprint in North India. The company has made an investment of Rs. 5 crore for the launch of 105 COCO (company-owned and company-operated) stores in a single-day. Group Chairman R.S. Dixit said in a statement, “By the end of 2018, we aim to

expand to 500 Ananda stores across Northern India.” Set up in 1989 in Bulandshahr in Uttar Pradesh, Ananda has steadily grown its production capacity and today offers over 50 products in its portfolio. Ananda is targeting 30 per cent growth from its company outlets

Dairy Times

and achieve a turnover of Rs 1,500 crore by the end of this fiscal. The company will offer fresh and wide range of dairy products, including confectionery and bakery items. Also, well-trained professionals will guide consumers to the right products based on their unique dietary requirements.


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India will become largest milk producer: Radha Mohan

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(DIDF) was set up with National Bank for Agriculture and Rural Development (NABARD) with a corpus of Rs. 10,881 crore. This year, the Government, with a corpus of Rs. 2,450crore, has set up an Animal Husbandry Infrastructure Development Fund (AHIDF) for financing infrastructure requirement of animal husbandry sector.

ddressing 16th convocation ceremony of National Dairy Research Institute in Karnal Union Minister of Agriculture Radha Mohan Singh said that for the last 20 years India has been the largest producer of milk in the world. Singh lauded the role played by NDRI in this connection and said it is catering to the technical and human resource requirements of the dairy sector. Shri Singh said that the milk production has increased by 20% between 2014 and 2017 and per capita availability of milk has risen by 15.6%. Similarly, the income of dairy farmers has increased by 23.77% between 201114 and 2014-17. The Government is committed towards ensuring more income to farmers, uplifting the economically backward sections of society, youth employment, better education and healthcare, he underlined. Union Minister said that the Government has initiated the “National Mission on

“In order to meet the working capital requirement of dairy farmers, the facility of Kisan Credit Card has been extended by the government to the fisheries and livestock farmers”, he said. Bovine Productivity” in order to help the benefits of animal husbandry schemes reach the farmers directly. The Government, under this scheme, is spending Rs. 825 crores for genetic upgradation, he stated. Singh said that Budget 2018 has laid special emphasis on animal husbandry. In the previous budget, the Dairy Processing & Infrastructure Development Fund

Agriculture Minister said that these initiatives of the Government are intended to increase the potential of self-employment in livestock through entrepreneurship. Lauding NDRI, Singh said that it is committed to training the youth so that they become job-providers instead of job-seekers. He expressed satisfaction over the BPD unit of NDRI in training entrepreneur.

Yakult Danone India expands portfolio with Yakult light launch

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ecently, the French dairy company, Danone had announced that it would exit the dairy segment in India, but through the joint venture with Yakult they still hope to be known in the dairy segment.Yakult Danone India Pvt. Ltd has further expanded its product portfolio in India with addition of a new variant: Yakult Light. After creating a niche for itself in probiotic category, Yakult is popularly known for their health drinks. Managing Director, Yakult Danone India Pvt. Ltd., Minoru Shimad said, “Probiotics was a new concept in India when we entered in 2008 with Danone. While Danone may have exited the dairy segment in India, we will continue to manufacture and market Yakult, and will be injecting more capital into our joint venture with new products like Yakult Light. Our signature brand Yakult is already a household name and is being consumed by most families as a part of their daily diet.

has been more of a strategic investor in the joint venture with Yakult and will continue to stay invested. India is still the biggest dairy market; but its dynamics is different from the rest of the world. Players like Yakult and Danone will be building on the probiotic segment, which is going to get big with time, despite the JV not making money in the country as of now.”

Today we are present in over 40 cities in 12 states across India. The health benefits of Yakult are tangible and there is an upward trend in consumption. To address growing demand and in line with needs of the Indian consumer, we are delighted to make our product range more versatile and inclusive by launching Yakult Light to accompany our existing probiotic signature product, it will cater to a broad consumer base such as the health conscious adults and the elderly.” CEO at TRA Research, N Chandramouli said “Danone

Dairy Times

Yakult may have created the probiotic milk category in India but in recent times has been facing intense competition in the fermented milk segment from domestic players such as Amul and Mother Dairy. Shimada added “We have invested Rs. 380 crore since we entered India and have been steadily increasing our capacity to 2.7 lakh bottles a day. However, we are not profitable as of now, but have been growing at 20 per cent for the past five years. There is consumer demand in India; even globally, the probiotic category is projected to grow at 7 per cent till 2022.”


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Dairy industry in India is not about 20-30 pc EBITDA: Sodhi

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mul Managing Director R.S. Sodhi said that the largest dairy co-operative rushed to the rescue of milk producers by procuring more during flush season as private dairies played a spoilsport by cutting down on prices as supplies increased. Amul is on an expansion mode and is known as a number one player in the country’s dairy sector when several foreign players failed to make a mark. Despite milk production growing at 6-7 per cent, Amul’s procurement grew by around 22 per cent in the ongoing flush season. The several MNCs entering Indian market face a limitation and hence are unable to launch a product pan-India with massive volumes, because they face competition from local co-operatives. It pinches at both ends — procurement and selling. Efficiency and scale is the key to success in dairy industry. Sodhi said “Efficiency comes from network and ground presence. For procurement, they have to pay more to compete with the co-operatives. And in sales, they have to match the affordability that the dairy co-operatives offer. There is a lot of scope for new entrants whether multinational or an Indian player. The organised branded products market is roughly one-third and is growing at double digit.” Amul MD further commented that the milk and milk products is a big business, but has thin margins primarily because of the co-operatives’ presence. Unlike

corporate or private dairy investors, who calculate investments based on 20-30 per cent EBITDA (earnings before interest, taxation, depreciation and amortization), co-operatives are satisfied even at 6 per cent EBITDA. Amul, at both ends of the supply chain — farmers and consumers are happy with better prices and affordability. The company’s procurement has touched 260 lakh litres per day, which is 22 per cent higher year-on-year. Remarkable fact to be observed is production has just grown by 6-7 per cent.“As milk supplies rise, there is production capacity which will expand by 40-50 lakh litres per day (LLPD) on immediate basis. This will come up at Gandhinagar, Sabarkantha, Mumbai and Junagadh, besides Pune and Kolkata,” said Sodhi. Amul has plans to increase processing capacities to 400 LLPD with an investment of Rs.600 cr. in two years from the current 320 LLPD. Currently, there are procuring and processing milk at Rajasthan, Madhya Pradesh, Maharashtra, Haryana, Punjab and Uttar Pradesh, besides West Bengal and Chhattisgarh. The company plans to enter Bihar and Assam with procurement and processing capacities. Out of the total Amul brand’s turnover of Rs. 38,000 crore (including incomes of the member unions), nearly 60-65 per cent is sold as liquid milk (including milk, butter milk, etc).After liquid milk,

the second biggest portfolio is baby food and dairy whiteners. The remaining 35-40 per cent is used for value-added products, which gives almost equal realisation as in liquid milk. The income obtained from these products get equally distributed to the farmers. Amul’s liquid milk and value-added products are complementary to each-other. Without liquid milk, the company cannot sell other products. Because of very high scale, the costs get divided and there is less expenditure on branding vis-a-vis others dairy players. This is the reason why we are affordable. Amul clocks about 3 per cent of their total revenues from exports to about 50 countries. Currently, the company’s value-added products exports are growing at about 20-30 per cent. Another cause of concern is the illegal exports of Amul branded products. Such exporters dodge the need of a certificate from government for each batch of products being exported. They hurt interest of the importing countries by loss of import duty earnings. Amul’s brand image and credibility gets hampered in case of expired products exported by this way. Amul works in close co-ordination with Commerce Ministry and agencies like APEDA by giving details of importer, exporters and amount of goods.

Rs. 6,000 crore can change face of dairy industry: Badal culture, food processing and dairy sector. The Minister said that Uttar Pradesh has become the best destination in the country for investment in food processing sector.

A

t the Investors’ Summit, Union Cabinet Minister For Food Processing Industries, Harsimrat Kaur Badal addressed a session on agri-

Badal said, “The world is looking towards India when it comes to food processing potential, and India looks at UP. Now that a specific policy, committed leadership and support in form of subsidies from Union and state governments are there, UP has become the best destination in India to invest in food pro-

Dairy Times

cessing sector.” Principal Secretary, dairy development, Sudhir Bobde said at the session, “UP produces over 8 crore litres of milk every day, which is almost three times the total produce in Gujarat. Over 40 per cent of the total volume is market surplus which can be used in dairy industry but only 12 per cent is used in the organised sector. The gap speaks for the potential in UP.” He said, “An investment of Rs. 6,000 crore will raise the organised sector share from 12 to 17 per cent.”


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An investment of Rs. 500 cr by Ananda Dairy in UP

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nanda Dairy, one of popular dairy and dairy products manufacturer announced an investment of Rs. 500 crore in the state of Uttar Pradesh Investor’s Summit 2018. With this investment, they intend to strengthen their network in north India. The company will take its commitment a step further in UP with the set up of a new dairy manufacturing unit, alongside building capacity for its existing assets and distribution centers in the state. A strategy created to empower local communities will also see Ananda invest in capacity building in the state to reach over 200,000 farmers in 5,000 villages for milk procurement and supply of dairy products to consumers. The company expects to generate over 1500 new employment opportunities, involving the local farming community. Chairman of Ananda Group, R. S. Dixit said “Today we are honored to build upon our legacy in the state where Ananda Dairy began its journey. The vision to deliver the best and most nutritious dairy produce to consumers drives us to ensure quality conscious growth. Meanwhile, our trusted relationship with the community which has contributed to the Ananda journey gives us the belief to invest in building a robust network in the state of Uttar Pradesh. This investment of Rs. 500 crore is a testimony to our commitment to aiding the growth of milk production and supply whilst ensuring industry growth and employment generation, and giving unhindered access to our wide range of dairy produce for our consumers to choose from.” Along with the new manufacturing unit, the company is set to create a

new facility to expand their existing manufacturing setup at various locations. The company will develop a comprehensive system for dairy distribution by setting up requisite cold storage and increasing the number of retail outlets.The company is currently looking to capture a bigger share of the dairy and dairy product market in India as this investment comes as a key initiative to fulfill the projected turnover of Rs. 1,500 crore by the end of FY18, and the target

of an overall growth of 30 percent with Ananda’s Company Owned Company Operated (COCO) retail outlets. Following this investment, Ananda will dedicate efforts towards creating a flawless procurement and retail network to maximize its capacity in UP, and to enable the local farmers in the state to derive benefit from its widened reach. Further, consumers will be able to access entire fresh and wide dairy produce range of over 75 products, including confectionary and bakery items for them to purchase.


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Pricing Trends in Dairy Products: 2018 Domestic milk and milk products Price:

International milk and milk products Price:

Source: Market watch

Source: Market watch

Source: USDA

Source: USDA

Source: USDA

Source: Market watch

Why are small dairy farmers in India out of business?

I

ndia’s milk crisis has been pushing small dairy farmers out of business and helping dairy multinationals to expand at their expense. A report stated that localised and people-driven milk markets based on agro-ecological livestock culture would be on its way out due to current milk crisis.Titled ’The milk crisis in India: The story behind the numbers’ establishes a link between global development in dairy industries and slowing down of local small-scale dairy business. The global slump in skimmed milk powder (SMP) prices since 2015 is a result of China and Russia stopping import of SMP. This created surplus in the (European Union) EU and sent ripples in the global market. The situation worsened after April 2015 when the EU scrapped its milk quota, which regulates the production of milk and control its overproduction. The increase in production of milk in these countries has affected export of SMP from India. The export from India during fiscal year 2014-15 reduced to 30,000

tonnes as compared to 130,000 tonnes the year before. In April 2015, SMP was being sold by private dairies at Rs 180 per kg, compared to Rs. 270 in the previous year.Indian dairy companies had attempted to dispose of SMP stocks in domestic market after recombining it with butter fat and converting it back to liquid milk. It led to slump in procurement price of milk in domestic market. Butter fat, is needed to make milk from SMP was imported in a large amount at a cheap rate from the EU and the US in 2014-15. The imports of subsidised butter fat into India rose from 25,000 kg in April 2014 to 704,167 kg in November 2015. Less money from milk is pushing small dairy farmers in debt. While this trend is global, Indian farmers have not received any support from the government even as their counterparts in the EU and USA have.The decision of private dairies and cooperatives to dispose SMP in the domestic market led to a price war, resulting in a further fall of prices

Dairy Times

Source: USDA

and even lower procurement price. Cheap milk brought temporary relief to consumers; the quality of milk available is poorer. The milk made from SMP has lower nutritional value as compared to fresh milk. Fresh milk is richer in vitamins and minerals than SMP. Moreover, a consumer is not able to determine the age of milk. Dip in price due to surplus in global market has given opportunity to big companies to expand into other countries. It pushed small dairy farmers out of the market but helped big corporations and cooperatives to expand their business. The procurement prices for small farmers have reduced even as the cost of production increased due to drought. Before May 2015, the production cost for a litre of milk was Rs. 26 per litre. Today, because of a severe drought in the region, the cost of production is Rs 30 per litre of milk. The procurement cost varies between Rs. 28-35 per litre depends on content of fat. Before May 2015, the cost of milk procurement was varied between Rs 32-38 per litre.


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Remote sensing centre in Gujarat to estimate fodder production

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intensify fodder production and improve fodder availability leading to increase in milk production and economic benefit. This will pave a new era of fodder crop management using satellite data for current status of fodder crops grown during one crop cycle like rabi, kharif and summer in a year.”

everal MoUs have been signed in the past few months for different segments in the country. Even dairy players inked pacts with the different allied partners for growth & expansion. Last year, Gujarat Co-operative Milk Marketing Federation (GCMMF) – the apex body of all the district dairy unions of Gujarat had signed a MoU with the Space Application Centre (SAC) of the Indian Space Research Organisation (ISRO) for this project. This is the first-ever remote sensing centre for estimation of fodder crops in Anand and Kheda districts was inaugurated at Amul Dairy campus in milk city-Anand.

K. Rathnam will work towards estimation of fodder crops in Kheda, Anand and Mahisagar districts. Similar centre will also come up at Banas Dairy for Banaskantha and Patan districts of Northern Gujarat.

The Amul Remote Sensing Center inaugurated in presence of Tapan Misra, Director, SAC, ISRO in presence of GCMMF’s Chairman Ramsinh Parmar, GCMMF’s Managing Director R.S. Sodhi and Amul Dairy’s Managing Director Dr.

An official said, “This is an innovative idea to help milk producers to help them to know when to initiate cultivation of fodder crop by use of satellite images. This would help farmers to estimate fodder production, plan them to grow or

The fodder crop estimation will also act as a decision making tool for monitoring national level projects like the Accelerated Fodder Development Program, National Livestock Mission, phase one of the National Dairy Plan and other watershed projects. It can be utilized in dairy sector for decision support in drought management also. Gradually it will be scaled up to all districts of Gujarat through respective milk unions of GCMMF.

Amul bets high on dining-out culture

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he trend to dine out has caught with Indians in recent years with the rise in income. India’s biggest milk-producing brand Amul is betting on this culture to extend its dominance. It expects the next wave of growth from institutional sales— to supply everything from milk and curds to butter and cheese to hotels, restaurants and caterers. The target is to increase the share of so-called HoReCa in its sales from 7-8 percent to 25-30 percent in five years. Nearly 80 percent of its revenue comes from retail consumers now. MD of Amul, R.S. Sodhi said “As income increase”, people start eating out more and will boost demand for dairy products. In any celebration, you see a lot of value-added dairy products. It’s a growing market.” Increasing urbanisation, changing consumer lifestyles and half the population below 24 years in a country of $1.2-billion people is driving the expansion of the restaurant and catering industry. This segment is expected to hit Rs 5.5 lakh crore by 2022, growing at an annualised rate of 10 percent from Rs 3 lakh crore in 2016.

Big names like McDonald’s, Pizza Hut, Domino’s and Baskin-Robbins have already expanded across the country, opening outlets in smaller cities and towns. That has encouraged a new crop of owner-entrepreneurs to start cafes and restaurants. They will all need milk, cheese, butter and more, boosting the country’s Rs 5.5-lakh-crore dairy market. Amul sources milk from the country’s largest network of co-operatives GCCMF - India’s white revolution that started in 1970s and turned nation into the world’s largest producer and consumer of milk. The company collects 25.5 million liters of milk a day—30 per cent of the organised market. Revenue stood at Rs. 27,000 crore in the year ended March 2017.Sodhi said that focus so far was retail, unlike in the developed markets where institutional sales contribute around 50 per cent of the revenue for dairy products makers. The company already supplies to clients like the Taj Group of Hotels, The Marriott and ITC Hotels. Amul looks to increase its dominance by growing its market share and revenue. Institutional sales growing at a strong

Dairy Times

pace as the number of food outlets is rising. Urban Indians spend an average Rs. 6,500 a year on eating out, with a wide gap in expenditure between different income groups. It mostly driven by the affluent —a cohort that earns Rs. 10 lakh or more a year and falls in the highest tax-paying category. Only 3 per cent of the middle-income households earning Rs. 3-10 lakh a year eat out, that’s still a big market in a country of 1.2-billion people. Moreover, the focus on institutional sales will not come at the cost of Amul’s retail market. It’s increasing the capacity of value-added products like curds, processed milk and cheese. The country’s largest dairy products maker spends $200 million (about Rs. 1,300 crore) a year to increase capacity. Indians are consuming more, making the nation the fastest growing market. While India is the largest producer and consumer of dairy products, per capital consumption is lower than the global average. As Indians consume more protein, demand will grow, Sodhi said. “That’s what makes the market attractive to even international dairy companies.”


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New beetroot – to revolutionise the dairy industry!

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ontinuously conducting research to bring about changes in dairy segment, the Central Arid Zone Research Institute (CAZRI) has just concluded with their recent finding. They stated that a new fodder crop of beetroot is all set to revolutionise livestock-based economy of Western Rajasthan.

potential of 1,000 q/ha in a short period of less than four months which is probably the highest for any crop of similar age and that too during the lean period of January end to April when availability of other fodder crop decreases.

This crop is claimed to be way cheaper and nutrient rich for the cattle. The important feature of this crop is that this can be grown well with poor quality water and cost less than a rupee for 1kg biomass.

CAZRI Veterinarian SubhashKachhawahahas been experimenting on the indigenous breed of cows with this beet root fodder, he said that the results were remarkable in regards to acceptability by the milch animal, nutritional value, decline in the cost of feed and quality of the milk.

A principal fodder of cattle in cold countries like the Netherlands and New Zealand, the scientists have successfully adapted this crop to the arid and warm environment of Rajasthan.

tricts and has found the demand growing. Director of CAZRI, Dr. O. P Yadav said that if seeds are made available on time and extension activities are undertaken by the state agriculture and animal husbandry departments, this can be a game changer for dairy industry of this region.

Having researched on this new crop of beetroot in 2010, CAZRI has passed it on to the livestock holders in the desert dis-

Since fodder availability is the biggest issue in livestock dominated Western Rajasthan, this crop showed the yield

“Now we have been working on the aspect, where this fodder could either do away with or reduce the need of concentrate (mix of cereals and grains)”.

Kerala wary about RCEP that might impact domestic dairy industry

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egional Comprehensive Economic Partnership (RCEP) agreement is likely to make way for milk and milk products from other countries. This may affect small and marginal farmers in Kerala who are not ready to compete with their New Zealand and Australian counterparts.

Kerala state has raised concern over the 16 Asian-Pacific countries on the ground that it would impact the country’s dairy sector. The RCEP agreement is expected to be signed in November. K Raju, Minister for Forest, Animal Husbandry

and Dairying was present at the 46th Dairy Industry Conference. He said,“Milk products from these countries would be price-competitive and the elimination of tariff lines potentially opens up much larger possibility of Indian milk producers facing pressure from countries like New Zealand and Australia.” He pointed out that the inflow of cheaper raw materials for reconstituted milk might affect the market for the natural milk produced by dairy farmers. A unique feature of the Indian dairy sector was high share of the consumer rupee flowing into hands of the primary milk producers, thanks to the operation flood programme. “It is feared that the opening up of dairy sector hastily to global competition will be a recipe for disaster unless the small

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producers are provided with appropriate policy support.” The Minister urged the Centre to hold discussions and consultations with all State governments before finalising RCEP. “It is requested that RCEP objectives may kindly be revisited and revised so that opening up of dairy sector in Kerala to external competition from developed countries can be prevented,” he said. Executive Director of National Dairy Development Board, Sangram Chaudhary said that India’s per capita consumption of milk is about 350 gms per day — lower than the developed countries. The growth in population and consumption would continue to stimulate demand for milk and milk products. Even though India is the largest milk producer, the average productivity of about 4.90 kg per day, which is also lower compared to other dairy developed countries. Chaudhary stressed on the need to propagate modern dairying and livestock management practices, which are technology-driven and are efficient.


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Telangana Plans milk procurement facility near Shamirpet

harting out several strategy to enhance milk production in Telangana state, plans have been drawn to set up a state-of-the-art milk procurement and processing facility in 100 acre near Shamirpet on the outskirts of Hyderabad city. District Collector of Medchal-Malkajgiri district has been directed to identify land and hand it over to the Telangana State Dairy Development Cooperative Federation (TSDDCF) at the earliest. Similarly, the existing milk procurement facility of TSDDCF at Lalapet is also being upgraded into a mega dairy plant by increasing its daily capacity from 5.5 lakh litres per day (LLPD) to 8 LLPD. Modernisation of the mega dairy plant was taken up at a cost of Rs 170 crore. Minister for Animal Husbandry, Fisheries and Dairy Development, Talasani SrinivasYadav said “Modernisation of Lalapet facility is nearing completion and will commence operations shortly, the work of new facility at Shamirpet will begin soon after the land is handed over.” The new facility is fully automated, with 10 LLPD capacity at a cost of Rs 180 crores. It would also have Rs 30 crore Ul-

tra-High-Temperature (UHT) packaging unit which can handle one LLPD. There would also be a milk powder plant of 30 MT capacities at an estimated cost of Rs 40 crore that would be part of the new dairy plant. The State government also plans to have units to produce products such as icecream, paneer, butter, curds and sweets at an estimated cost of Rs 30 crore. Elaborating future expansion plans of Vijaya Dairy (marketed by TSDDCF) and its products, the Minister said that the State government was pursuing proposal to give subsidised cattle to 2.17 lakh farmers in the State, as per directions of Chief Minister K. Chandrashekhar Rao. “The department has estimated cost of the cat-

tle distribution scheme at around Rs. 600 crore.” Officials said members of the four existing cooperative dairies will be benefitting from the cattle distribution scheme which is proposed to provide cattle at 50 per cent subsidy. At present, each milch animal is priced at around Rs. 80,000Rs. 1 lakh. To cope with daily demand, the government has decided to raise the capacity of Vijaya Dairy from the present 4.5 lakh litres to 8 lakh litres per day. As per latest estimations, milk production in the State has crossed 5.5 LLPD from around 2,900 collection centres covering over 65,000 milk suppliers.The TSDDCF has one milk products factory, seven dairies, 11 milk chilling centres and 126 bulk milk cooling units.

Tripura dairy farmers unable to get minimum price of milk

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airy farmers are unable to get the minimum price of milk due to their dependence on the single cooperative society in Tripura for selling their produce which pays only Rs 27 per litre milk, which is far less than the market price. Secretary-cum-Manager of Kishan Bikash Milk Cooperative Union, Rajib Dey said, “The society pays Rs 27 per litere

of milk which is too less. Even the price of one litre of drinking water is Rs 30.” The market price of milk in Tripura is Rs. 50-60 per litre. Dey said, “There are good numbers of dairy farmers in Bagma area under Udaipur subdivision of Gomati District, but these farmers have no other option, apart from selling their milk to the cooperative society.There is not much difference between the price of milk and water in Tripura.”Dilip Ghosh, Joint Secretary of the Kishan Bikash Milk Cooperative Union also confirmed this quote. Another farmer Jiban Krishna Dey, who is closely associated with milk production, said, “The dairy industry, which otherwise has great potential in Tripura, has failed to develop due to the lack of initiatives of the

Dairy Times

state government.” Throwing light on the problems of dairy farmers in the district, he further said, “There is only one government promoted cooperative society named Gomati which is monitored by the state headquarter -Agartala. Despite being the only cooperative society, it does not have a proper system of procuring milk from all the villages.” A small storage and processing unit is likely to overcome the problem of dairy entrepreneurs in marketing their product.“Given that dairy farming can improve the income level of poor people and those farmers who are closely associated with farming of animals like cow, goat and buffalo, the government needs to develop infrastructure, and take initiatives in the favour of the farmers,” he concluded.


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Industry adopts advance technology to cope with increasing demand

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ith a Compound Annual Growth Rate (CAGR) of 5 per cent, this industry is anticipated to gain revenues worth USD 442.32 billion in 2019. A balanced rise in consumption demand for dairy and allied products has led to high levels of technology adoption among major dairy producing countries in the world. Negatively impacted by the global economic crisis of 2009, the dairy industry worldwide suffered a major setback. The growth of milk production dropped below one per cent and demand for dairy products slowed down significantly during the period. However, the industry is on the path to recovery. Asia continues to dominate the global dairy market. China, India and countries in South East Asia account for a major portion of the global dairy industry, but milk supply in these regions has not kept pace with growing demand. These markets offer huge potential for dairy companies that look to meet the global demand for dairy products. Global milk production was estimated at 650 million tonnes in 2013 and has rised with a CAGR of 2 percent. Overall production is projected to reach 732 million

tonnes in 2019. Cow milk represents nearly 80 percent of global milk production. As compared to cow milk, buffalo milk is produced in fewer countries; it is estimated that more than 80 percent of the world’s total buffalo milk is produced in India and Pakistan. The North American dairy industry is dominated by the United States of America, followed by Canada and Mexico. In 2011, market revenues in the USA stood at USD 48,506.40 million. USA led the North American Free Trade Agreement (NAFTA) bloc earn revenues worth USD 56,851.60 million in 2016. Brazil and Argentina are the leading milk procuring countries in the region, with Chile and Uruguay are slowly emerging as significant contributors to the South America Dairy Industry. Milk and allied dairy products is one of the major constituents of the animal husbandry industry in Russia. In terms of value, Russia’s dairy industry accounts for nearly 40 percent of the gross product of animal husbandry. Globally, after India, United States, China and Pakistan, Russian Federation is the fifth largest milk producer.

Asia remains one of the most diverse regions in the world in terms of economic growth, with changing food consumption preferences and relative availability of resources, both human and environmental. Today, India has come a long way to become one of the leading milk producing countries in the world. In its quest for self-reliance, Indian dairy industry underwent structural changes and milk production increased four-folds over the last four decades. As per World Bank, long-term demand for food and dairy products is likely to rise significantly, resulting in price volatility. The dairy sector is especially anticipated to experience erratic movement in prices in the coming years. Developing and emerging countries have largely contributed to world wealth growth in the last decade. Although developed countries had been the major contributors till 2005, period from 2000-2010 witnessed significant contributions from the BRIC (Brazil, Russia, India and China) region. This rise of these developing countries has played a crucial role in the growth of the global dairy sector.

Dairy sector anticipates to reach 15% CAGR till 2020 to Rs 9.4 trillion

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ndia’s dairy industry is projected to maintain 15 per cent compounded annual growth (CAGR) over 2016-20, and attain value of Rs. 9.4 trillion on rising consumerism. India’s dairy industry is worth Rs. 5.4 trillion by value, having grown at 15 per cent CAGR during 201016. Going ahead, the dairy industry is expected to maintain 15 per cent CAGR over 2016-20, and attain value of Rs 9.4 trillion on rising consumerism. India has progressed from being deficient in milk production at 20 million MT in 1970 to becoming the world’s largest milk producer at 160 million MT, accounting for 18.5 per cent of global milk production. Further, India is expected to emerge as the largest dairy producer by 2020. The Union government implemented the Cen-

tral Scheme National Dairy Plan - Phase 1 during 2012-17 to improve productivity of dairy cooperatives through several input activities. Investments by private players in the domestic dairy sector are also expected to further augment milk productivity. Going ahead, India’s milk production is expected to outperform global production and grow at a similar 4.2 per cent CAGR to 185 million MT per annum, and surpass EU to emerge the largest dairy producer by 2020. Interestingly, the country’s per capita milk consumption has also been increasing at 3 per cent CAGR as compared to 1 per cent CAGR globally. There is huge scope for India’s per capita milk consumption to

Dairy Times

spurt led by growth in value-added products (VADP), which is at 34 per cent of industry versus 86 per cent for the global mature markets like EU. India has a potential of 15-30 per cent plus growth in VADP like cheese, whey, UHT milk over next few years. Led by rising disposable income, and growing consumer preference for branded and value-added milk and milk products, investments by organised players also in the sector has been on the rise. It pointed out that other top milk producing geographies like EU, USA, China, and Pakistan are expected to grow their production volumes at 2 per cent growth over 2020, which is lower than India’s growth estimates.


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Motihari gets its first dairy plant

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airy farming has become a source of livelihood and food security at the rural level, especially for landless and marginal farmers. Union Minister for Agriculture and Farmers Welfare Radha Mohan Singh laid the foundation stone for the first dairy plant in Motihari, Bihar. The minister said that the growth in the dairy sector is a result of initiatives taken by the Government by implementing various schemes to increase productivity of milch animals. “India is the prime producer of milk and has been holding the number one position globally over the past two decades.”

Milk production has reported anexceptional growth in recent years and per capita availability of milk has also grown by 15.6 per cent during the year 2016-17 taking it to 355 grams from 307 grams in 2013-14. Singh said “Likewise, income of the dairy farmers grew by 23.77 per cent during 2014-17 compared to 2011-14. In the last three years, milk production in India grew by 6.3 per cent every year thus surpassing the annual global growth rate of 2.1 per cent. India has reached a stage where it is capable of providing abundant opportunities for entrepreneurs at the international level. About 80 million farmers are connected with the dairy business and they rear 80 per cent of the total milch cattle.” It bears recall that more than agriculture it is the Animal Husbandry, Dairy and Fisheries which are being positioned to fulfill the Prime Minister’s mission of doubling farmers’ income by the 75th anniversary of India’s independence. Singh also mentioned about Rashtriya Gokul Mission for the conservation and promotion of indigenous breeds. He even spoke about the National Mission on Bovine Productivity Scheme launched in 2016 with an allocation of Rs. 825 crore. The aim is to increase milk production and productivity and to also make milk production more profitable.

Dairy Times


26

Kisan Cards for animal husbandry by Andhra Pradesh govt.

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he Department of Animal Husbandry, Indian Council of Agricultural Research(ICAR) and Government of India are working together to increase component through budgetary allotment for financial assistance through Kisan Credit Cards in the country. Union Government has also decided to create Animal Husbandry Infrastructure Development Fund with Rs. 8,000 crore and for Dairy Rs. 10,000 crore and Fisheries Infrastructure Development Fund is exclusively meant to take up cold chain storage, marketing, pre-harvesting and pro-harvesting and package activity. India has stood first in milk production in the world and its consumption is 375 grams per head against the ICAR recommendations of a maximum of 300 grams. Animal Husbandry Commissioner Suresh S Honnappagol said that Kisan Credit Cards can be used for animal husbandry, which means they can buy cattle, dairy, poultry and other things. The further he

said, “The Central Government has taken this initiative among many other reforms to double farmers’ income in the country. The initiative will certainly yield good results.There is a disparity that some of the regions, cities and States are consuming low quantity of milk, while some others high quantity and quality, and the Central Government is trying to bring uniform availability of milk to promote consumption. Milk process through organised sector is only 36 to 38 per cent and it has to be increased to 58 per cent for the growth of dairy sector. All the States will be instructed to announce their State breeding activity on the lines of Punjab and an Act in this regard is on the anvil. Currently, there are 41 indigenous cattle breeds in the country.” He also said that there is no halt to cross breeding programme. “The Union Government had selected top 10 germination centres among 51 in the country on trial

basis from October 2 to 7 last year and this year too artificial insemination attempts with selected cattle breeds will be conducted.” The Animal Husbandry Commissioner announced that the Centre had selected ChinthalaDivi in Andhra Pradesh and another centre in Madhya Pradesh to conduct systematic breeding activity for the country’s needs. “We have also identified 88 million animal population and will update data which can be a reference data. All South India, including Maharashtra livestock evaluation has been completed and data reconciliation will be completed by March 10 and from April, livestock census in North India and North Eastern states will be taken up and it will be completed by January 2019.” Honnappagol stated that they will further improve veterinary services, and concentrate on all diseases and hope to minimise the animal mortality rate.

Elanpro Introduces Compact Chest Freezer With Drawer

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ndeavoring to introduce innovative solutions for HoReCa and Retail sectors alike, Elanpro, India’s leading commercial refrigeration company, added a consumer centric product Elanpro Chest Freezer with Drawer to its product portfolio. An ideal solution for safe storage of ice creams and dairy products, Elanpro Chest Freezer comes with flexible drawer option enhancing the ease of use and product life. The product is equipped with tropicalized compressor to give it a wide climate zone design suited especially for Indian weather conditions. ELANPRO BD 215D is uniquely designed to provide high insulation ensuring low power consumption. This feature is chiefly relevant for the Indian market conditions as it maintains the interior temperature of -18°C even without electricity for as long as 3-4 hours in case of power failure. The robust freezing facility and drawer option helps cool quicker whilst consuming less electricity. The user friendly offering comes with a drawer facilitating easy access to small and

often needed food items. The chest freezer is available in a capacity range of 200l itres for storage of bigger items. ELANPRO BD 215D can also prove to be an efficient counter top as the flexible drawer storage eliminates the regular use of the chest frezezer. With a temperature range between -16°C to -28°C. Packed with latest innovation, ELANPROBD 215D includes digital temperature control with power indicator and high pressure foam insulation for efficient temperature maintenance. The freezer has sturdy wheels for easy portability. Priced at Rs. 28000, ELANPRO BD 215D helps with long term storage and distribution purpose. The product is available at all ELANPRO Dealer Stores across India. About Elanpro Elanpro is an organization focusing on commercial refrigeration & food-service products in India. An organization trusted by the largest names in Hospitality, Retail and Pharma Industry, the company has a network of almost 100 channel partners in Key districts of India. Elanpro

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offers international range of refrigeration and food-service solutions for hotels, restaurants, bars, coffee shops, ice cream & beverage, food retail and the healthcare segments. The company represents the world’s leading brands for Beverage Dispensing: Vin Service’s for BEVERAGE RETAIL segment – includes Beer and Soda Dispensing System from Vin Service Italy. With the aim of creating a difference with its service in the industry, the company has created trusted relationship with major Retailers like Pepsi, Coke, Amul, Sabmiller, Inbev to have trusted Elanpro. Elanpro is providing its key clients with large-scale solutions as well as service. The Elanpro organization is poised to grow faster than the market whilst taking care of all stake holders.


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40 mn cows to get Aadhaar number in 1st phase

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arendra Modi government is set scrapped the traditional distinction beto assign each of the country’s tween “plan” and “non-plan” distinction milk-producing cows a cheap, of expenditure, switching instead to reveunique identity card or UID, first pronue and capital expenditure. posed in 2015. Just like the 12-digit AadThis allowed the setting of budget “outhaar number for every Indian. The Union put and outcome” targets, starting last budget has allocated about Rs. 50 crore year. According to this year’s budget, the for this project to cover 40 million cattle. deliverable target is enrolment of 40 milA dairy department official said the agrilion cattle while the outcome is a “20% culture ministry will implement the proincrease in milk production”. In policy gramme, has already acquired the UID making parlance, output is a quantitative technology that comes with a cheap, tamresult, while outcome refers to qualitative per-proof polyurethane tag containing the Rathi, Deoni, Tharparkar and Red Sind- impacts. cow’s biological details such as breed, hi of Rajasthan and Uttar Pradesh. Both For artificial insemination, the output tarage, sex, height and special body marks. projects are part of “output” and “out- get is 1.50 million sex-sorted doses to “inEach card will cost between Rs. 8 and Rs. comes” targets set in the budget, which crease availability of high genetic merit 10. Named Pashu Sanjivini”, the animal will be monitored by the NITI Aayog. heifers”. A heifer is a cow that has not UID scheme is part of a larger programme India has about 45 million “in-milk”, or borne a calf. for the dairy and fisheries sectors. milch, cattle. Animal husbandry gets only The overall outcome spelt out by the budIn 2015, a government committee had 5.4 per cent of the overall agricultural get are jobs for 100,000 people, 15 per recommended UID for cows to prevent ministry budget despite livestock being cent increase in artificial insemination trafficking following a Supreme Court the most critical sector for most margin- and a Rs 15,000-crore jump of value in direction that heard a plea to stop cattle alised farmers. milk output. smuggling. According to the 2015 ex- In the 2017-18 budget, the government pert committee’s recommendations, owners of cattle will be responsible for registration. Registration proof must be maintained by the owner of the cattle which may be transferred to the next EXTERNAL TRAINING PROGRAMME SCHEDULE FROM February 2018 to December 2018 owner in case a legitimate sale/transPrivate Co-operative fer takes place. Dairies Government, These sectors are crucial if officials & Individual NGO / Month Duration Training Name (small Trust/Clusters are to get serious on doubling farmbusinessman) etc Fee* (INR) Plus 18% GST Extra ers’ incomes by 2022, a target set 01.02.2018 to 03.02.2018 Management of Bulk Milk Cooling System (Guj) 6000/8000/by the government. This is nearly 05.02.2018 to 10.02.2018 Feb-18 Dairy Technology for non Dairy Technologist (Eng) 12000/18000/impossible from cultivation alone Management of Bulk Milk Cooling System and Clean Milk 19.02.2018 to 23.02.2018 because a majority of Indian farmers Production (Hindi) 12000/18000/05.03.2018 to 08.03.2018 can’t achieve economy of scale as Sensory Evaluation of Milk and Milk Products 9000/12000/Mar-18 12.03.2018 to 14.03.2018 they work on small parcels of land. Technology of Fermented and Probiotic Dairy Products 7500/10000/Advances in Fat Rich Dairy Products(Butter, Ghee, Margarine, In a budget speech seen as pro09.04.2018 to 13.04.2018 AMF/Butter Oil) 12000/18000/April-18 poor, finance minister Arun Jaitley 16.04.2018 to 21.04.2018 Dairy Technology for non Dairy Technologist (Guj) 12000/18000/announced a Fisheries and Aqua07.05.2018 to 12.05.2018 Dairy Technology for non Dairy Technologist (Eng) 12000/18000/culture Infrastructure Development 14.05.2018 to 19.05.2018 May- 18 Laboratory practices in Dairy and Food Plant 12000/18000/Fund and an Animal Husbandry 28.05.2018 to 30.05.2018 Detection of Adulterants in Milk 8000/10000/Infrastructure Development Fund 04.06.2018 to 06.06.2018 Dairy Secretary Training (Guj) 7500/10000/worth Rs. 10,000 crore. 11.06.2018 to 13.06.2018 June -18 Management of Bulk Milk Cooling System (Guj) 6000/8000/About Rs200 crore has been set Management of Bulk Milk Cooling System and Clean Milk 18.06.2018 to 22.06.2018 Production (Hindi) 12000/18000/aside for an artificial insemination 02.07.2018 to 07.07.2018 Dairy Technology for non Dairy Technologist (Eng) 12000/18000/drive to improve cattle breeds with 09.07.2018 to 14.07.2018 Technological and Engineering Aspects of Cheese Making 15000/21000/an aim to ‘upgrade the nation’s enJuly-18 16.07.2018 to 19.07.2018 Sensory Evaluation of Milk and Milk Products 9000/12000/tire cattle population.’ 23.07.2018 to 25.07.2018 Technology of Fermented and Probiotic Dairy products 7500/10000/The agriculture ministry’s Rashtri01.08.2018 to 04.08.2018 ya Gokul Mission claims that milk Dairy Supervisor Training (Guj) 9000/12000/August-18 New Developments in Energy Management of Dairy and Food 06.08.2018 to 11.08.2018 from indigenous cattle was healthier Operations 15000/21000/due to higher content of “A2 allele *Fee includes food, accommodation (Double Occupancy A/C) and reading materials. GST extra as applicable. of beta casein”, a protein. It seeks to Fee* to be paid by DD in favour of VIDYA DAIRY payable at Anand, is inclusive of food & accommodation (double occupancy, A/C rooms) . upgrade commonplace breeds using Due to unforeseen circumstances, programme dates may change / get cancelled in some cases. Prior confirmation is therefore, a must before participating in any program. Contact: Training Co-ordinator 09377211866 / 09377925124, 02692-221504, 02692-262501 Email: elite indigenous stocks such as Gutrainings@vidyadairy.in paoffice@vidyadairy.in Website: www.vidyadairy.in jarat’s Gir, Rajasthan’s Sahiwal and

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28 In a recent Mintel study, consumers today are looking for and sharing their experiences with the food they consume. There is an increasing focus on texture and flavors. YOFLEX® ACIDIFIX® cultures create a mild yogurt base whose pH remains stable throughout shelf life, keeping flavors and texture intact. This means our customers can get innovative with flavor variations and broaden their yogurt offering to target millennials. cross the world, demand for healthier alternatives for children has risen; parents are paying more attention than ever to food labels. Recognizing that parents often wish to make the right food choices for their children, but the proliferation of products sometimes creates confusion and makes the decision-making process difficult, Chr. Hansen has advanced solutions within the NU-TRISH® range.

Let’s talk about bacteria

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acteria have been vilified over the years as being bad for human health. As research studies on bacteria increase, we soon discover that not all bacteria are harmful. Some bacteria lend a helping hand, by curdling milk into yogurt, or helping with our digestion, and many types of bacteria are beneficial to human health. A concept that is somewhat hard to wrap our heads around: bacteria can be good for us! Largest collection of bacteria Chr. Hansen is one of the pioneers in the area of bacterial research. Starting over 140 years ago, enzymes were first used to make cheese, and slowly the use of enzymes expanded to making yogurts and other fresh dairy. Today, Chr. Hansen has over 30,000 strains of bacteria, one of the largest collections of good bacteria in the world from which the company develops natural solutions for keeping food fresh longer, dietary supplements for adults and children, animal feed and even plant health.

Making healthier food possible Chr. Hansen is built on a strong microbial platform. We find nature’s own products and use nature’s own products to create healthier food. Through careful strain selection and rigorous safety assessment and testing, we develop innovative solutions that advance food, health and productivity from farm to fork. TechSci Research has put yogurt’s growth in India at a CAGR of 28.9% and expects it to hit US$1 billion by 2021. Yogurt is eating away at the traditional dairy products in the urban areas in India due to greater accessibility to a wider range of yogurt, growing health awareness and better packaging. Chr. Hansen’s range of enzymes makes it easier to make various types of yogurt. It is now possible to produce reduced sugar, lactose free yogurts with the cutting edge lactase NOLA® Fit to meet consumers’ demand for a healthier choice without sacrificing taste.

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Our customers are now able to produce functional drinking yogurts that include the world’s best documented probiotic strain Lactobacillus rhamnosus (LGG®). The large number of scientific publications and clinical studies on LGG® indicate that the probiotic strain may have beneficial effects on gastrointestinal and immune function to reduce respiratory tract challenges, enhance immune response, reduce crying and fussiness in infants and alleviate symptoms of irritated skin. Sustainability makes for good business While India is the largest milk producer in the world accounting for 18.5 percent of global milk production, the country’s milk yield per cow is low. India’s estimated demand for milk by 2020-21 is 210 million liters and if it cannot meet its demands, the country may need to resort to importing. 80% of the milk products in the market are sold by informal vendors either in loose unpackaged milk or processed form. The quality of the vendors’ milk cannot be guaranteed and much of it may contain additives to control spoilage. Added to that it is estimated that about 18% of yogurt is thrown away and 80% of that is due to expiry of the use-by-date happening somewhere in the supply chain globally.Using nature’s own resources, Chr. Hansen has developed solutions to help derive more value from the same quantity of milk and also reducing wastage


29 Research and innovation Our vision is to enable the wider adoption of natural ingredients to address global challenges within food health and agriculture.

created by inadequate infrastructure support. Chr. Hansen’s FRESHQ® range is a natural way to protect your yogurt, kefir, quark and other fermented milk products against spoilage during production and transportation; and extend shelf-life without artificial preservatives.

By collaborating with customers and partners to innovate products and processes that meet and create future demand we want to deliver innovative natural solutions that advance food health, health and productivity for the benefit of us all. Research, innovation and application are at the

Who moved the cheese? Cheese is not new to the Indian cuisine. There have been a number of new entries in the cheese market by local and international brands. Consumption of cheese in India is growing at a CAGR of 13% 20% with the demand for branded cheese contributed by the metropolitan cities. Cheese in India is projected to reach a value of INR 46 Billion by 2023 (Euromonitor, 2017 and IMARC Group, 2017). This growth is attributed to the exposure and adoption of Western products and the habit of eating out in foodservice outlets. Tapping on the snacking trend, cheese is also getting a make-over as a healthier snack alternative, according to Mintel’s 2017 insight study. Chr. Hansen offers a wide range of animal and fermentation produced coagulants (all in different formats) and our products cover coagulation requirements for all cheese types that help our customers to take advantage of this growth. Of the range, CHY-MAX® M is a second-generation fermentation produced chymosin (FPC) offering high milk-clotting specificity combined with reduced proteolytic activity. The product makes for better yield increase, less bitterness and the option to reduce salt content. It is also certified Kosher and Halal and is suitable for vegetarians.

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heart of what we do here in Chr. Hansen. We constantly screen our library of over 30,000 bacterial strains for possible development to create the next generation of probiotics. Recently we have identified a subset of 100 that can be developed for a broad array of health indications associated with gastrointestinal, immune and metabolic health. With 19 application centers across five continents, we have about 1,000 customer development projects each year. On top of that, we collaborate with numerous companies and academic institutions to accelerate innovation using good bacteria. Millions can’t be wrong More than 1 billion people around the world consume our natural ingredients every day. There’s a good chance that you had a bite of Chr. Hansen this morning.


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Cattle Breeding Policy: Desi breed conservation should not be at expense of farmers, milk output

Livestock is an important asset for Indian farmers to supplement their agricultur a l income. Cattle and buffaloes have been traditionally maintained by them for milk production as well as manure and bullock supply. With 191 million cattle and 109 million buffaloes, India accounts for 30.3 per cent of the global bovine population. The country also tops in world milk output, with an estimated 155.5 million tonnes (mt) output in 2015-16. However, India’s annual milk production per cow is only 1,310 kg, as against the world average of 2,200 kg and way below the 9,314 kg for the US and 10,035 kg of Israel. Such low milk yields are mainly because about 60 per cent of our cattle are genetically eroded nondescript animals. These animals, having no specific breed characteristics, produce just 350-500 kg of milk over an average annual lactation cycle. Out of the remaining 40 per cent, roughly 20 per cent comprises identified Indian cattle breeds with annual milk yields of 600-1,000 kg and another 20 per cent crossbred cows that produce 1,8002,200 kg per year. With rising farm mechanisation and use of chemical fertilisers, apart from rising feed and fodder costs, maintaining

cattle and buffalo is today becoming uneconomical, unless the focus shifts to dairy husbandry as an economically via ble and sustainable source of livelihood. But for that, it is necessary for farmers to keep animals yielding at least 1,200-1500 kg of milk per lactation. Currently, over 80 per cent of cattle in India are owned by some 70 million small and marginal farmers, a majority of whom rear nondescript cows. With an efficient breeding programme for improving the progeny of such animals, these poor farmers can adopt dairy husbandry as a reliable livelihood avenue. Out of the 37 recognised indigenous breeds of cattle, only four — Gir, Red Sindhi, Sahiwal and Tharparkar — are true milch breeds, with their average milk yields at around 1,500 kg per lactation. Another seven breeds are of dual purpose, maintained both for dairy and draught functions, and with 800-1,200 kg annual milk yields. The rest 26 are primarily draught breeds, reared for producing bullocks and whose milk yields are well below 800 kg. With the introduction of farm machinery and Lobbies with no stakes in dairy husbandry are undermining the achievements of crossbreeding through false glorification of the Indian cow.

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high cost of maintaining bullocks, neither nondescript nor draught breeds are economical propositions any longer for farmers. One needs to, then, promote a suitable cattle breeding and conservation policy, which enables small and marginal farmers to make the best use of their animals for raising incomes. In 2012-13, the population of the four milch breeds, together with their upgraded progeny, was assessed at 11.29 million. Farmers would, no doubt, be happy to maintain such high-yielding animals. But on the other hand, the corresponding populations of the 7 dual-purpose and 26 draught breeds were 11.76 million and 14.88 million, respectively. With decreasing demand for bullocks, farmers will prefer breeding the cows from these with bulls of the more profitable milch cattle breeds. This is already happening in buffaloes, where owners of Banni, Surti, Bhadawari and Pandharpuri breeds use Murrahbulls for producing more high milk-yielding progeny, without bothering to conserve the former breeds. That leaves us with the estimated 113.25 million nondescript cattle, which are already under neglect due to low milk yields. Genetic improvement of their progeny by breeding with Indian dairy breeds has not been successful or, at any rate, attractive to farmers. Hence, crossbreeding with European dairy breeds such as Jersey and Holstein Friesian was promoted during the 1970s. As the crossbreds born to nondescript cows produced 2,000-2,400 kg milk per year, even marginal farmers started maintaining these animals and adopting


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dairy husbandry in a major way. Crossbred cows are what gave a boost to dairy husbandry, helping boost India’s annual milk production from 23.3 mt in 197374 to 155.5 mt in 2015-16, a near seven-fold jump in 40 years. In spite of the above phenomenal success, many lobbies with no stakes in cattle rearing have been undermining the benefits of crossbred cows. The criticisms include the susceptibility of crossbreds to diseases and heat, besides the inability of their bullocks to carry out tillage operations. These apparent drawbacks, however, have hardly had any impact on farmers themselves. In recent years, there have also been attempts at pressurising the government to discourage crossbreeding by glorifying native cattle. This has involved, among other things, highlighting the use of their urine for plant protection and medicines, though without any economic considerations. False publicity has also been generated on the so-called harmful effects of the A1 type of milk produced by exotic breeds and crossbred cows Recently, the agriculture ministry has published reports suggesting that A1 milk can induce diabetes and coronary heart disease. It has even released a poster, claiming that the A2 type milk produced by Indian cows is useful for treating these ailments. All these are based on a faulty study conducted in early 1990s in Australia, whose findings were not accepted due to lack of scientific validity. Moreover, people all over the world have been consuming A1 milk for centuries, without any documented ill-effects. Such baseless publicity and its seeming endorsement by the government will only destabilise India’s dairy development, causing huge losses to our farmers. The situation is further being encashed by traders, who are selling A2 milk at 200-300 per cent higher prices, even while consumers have no

means of verifying its quality. The danger is that in the absence of corrective action to counter misapprehensions over the safety and quality of milk from crossbred cows, farmers would be compelled to replace these with animals upgraded with native breeds. It may lead to their incurring an output loss of over 1,000 kg per cow per year, while also bringing down the country’s annual milk output by 35-45 mt. There’s no doubt that we need to conserve our native breeds of cattle. But any breeding policy has to protect farmers’ interests; we cannot force them to bear the burden of rearing low-productive cattle. The challenge is to make economic use of nondescript cattle, through crossbreeding them with exotic breeds and producing high-yielding progeny. The benefits from such crossbreeding have been demonstrated by BAIF Development Research Foundation, a Gandhian organisation, for over the past 50 years.

Over 40 lakh farmers in 15 states are at present availing the breeding services by BAIF. Crossbred cows born to low-yielding nondescript cows are yielding 2,000 kg and more of milk per year. A rural family can make a decent living even with three such high-yielding cattle. Farmers having a liking for indigenous cattle can opt for breeding crossbred cows with elite Indian breeds to maintain high milk yields along with positive traits of tolerance to heat and diseases. This is the strategy that Brazil adopted 100 years ago to improve production of imported Indian Gir cows. It helped them to increase the milk yield of these cows to 6,000-8,000 kg per year. Currently, over 25million Indian farmers are maintaining crossbred cows. Adverse and baseless propaganda on the quality of milk from these animals can affect their incomes. The government must promote genetic conservation of native breeds, but any such policy measures should be science-based and definitely not at the cost of the farmer.

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Dairy dreams:

A not-so-white vision

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he government’s projections of milk production almost doubling and incomes of farmers more than trebling by 2023-24 seem rather rosy. It

took over one-and-a-half decades for India’s milk production to roughly double from 80.6 million tonnes (mt) in 2000-01 to 163.7 mt in 2016-17. But if the Narendra Modi government’s National Action Plan for Dairy Development: Vision-2022 is to be believed, it’s possible not only to achieve the next near-doubling to 300 mt by 2023-24, but also more than treble the average net income of milk producers from Rs 516 to Rs 1,697 per month. How is this going to be done, given that achieving 300-mt output in 2023-24 would require an annual growth of 9.04 per cent, or twice the 4.53 per cent average rate recorded between 2000-01 and 2016-17? Well, the Ministry of Agriculture & Farmers’ Welfare, which has prepared the Action Plan, projects an increase in the country’s in-milk cattle and buffalo population from 88.35 million in 2015-16 to 108.31 million in 2021-22 and 116.38 million in 2023-24. That, along with average daily milk yield per animal rising from 4.65 kg to 6.44 kg and 7.06 kg, would result in output climbing from 155.5 mt in 2015-16 (it presumably also includes production from goats) to 254.5 mt in 2021-22 and 300 mt in 2023-24. As for incomes, the assumption is that the average monthly milk sale by farmers will go up from the existing 80.1 litres (@2.67 litres per day) to 151.37 litres (5.05/ day) in 2021-22 and 178.40 litres (5.95/ day) in 2023-24. Also, it is expected that the average procurement price per litre paid by dairies for buffalo and cow milk would increase from the current Rs 32.19

to Rs 43.14 in 2021-22 and Rs 47.56 in 202324, with corresponding retail prices of Rs 46, Rs.

61.64 and Rs. 67.96 per litre, respectively. Taking the farmer’s margin at 20 per cent of the procurement price, the average milk producer’s net monthly income would grow from Rs. 516 now to Rs. 1,306 in 2021-22 and Rs. 1,697 by 2023-24. In other words, not a mere doubling but a more-than-trebling of incomes over seven years! But how realistic are these forecasts/targets? To start with, consider the projected onethird expansion in the country’s in-milk bovine population between 2015-16 and 2023-24. It is obvious that this cannot happen through an increase in the overall cattle and buffalo numbers; these have grown by just 3.74 per cent — from 288.79 million to 299.6 million — between 1992 and 2012. There is simply not enough fodder, feed and water resources to support animals significantly beyond the current population levels. So, it means raising the share of productive in-milk animals within the total bovine population. But how feasible is that in today’s political environment, where many, if not most, state governments have enacted stringent laws against cattle slaughter — making it virtually impossible to dispose of unproductive animals?

between 2015-16 and 2023-24. How? The Modi government, it seems, is relying greatly on the Rashtriya Gokul Mission that aims to raise the productivity of indigenous and nondescript cattle by creating a “super elite” population of Sahiwal, Gir, Tharparkar, Red Sindhi, Rathi, Kankrej and Hariana breeds. There would be a programme of selective breeding among the recognised 37 “pure” indigenous breeds, and also of upgrading nondescript cattle by inseminating these with semen from the “super elite” native bull population. This would mark a departure from the existing strategy, where the upgradation of nondescript animals — those with no defined breed characteristics — has sought to be achieved through crossbreeding with western breeds such as Jersey, Holstein Friesian and Brown Swiss. The wisdom of such a departure, given the implications for both milk production and farmer incomes, is questionable, as the accompanying article below points out. The Action Plan, moreover, talks of enhancing artificial insemination (AI) coverage, without which no breeding strategy — whether via indigenous or exotic breeds — can obviously succeed. It envisages extending AI coverage to 65 per cent of the total breedable bovine population by 2021-22, from the present 25 per cent. Again, there’s no clarity on how this is to be achieved, other than a general statement that all states “would have to work out clear cut strategies … to improve AI coverage along with ensuring efficiency of [the] current system”. Coming to incomes, higher milk sales by farmers and improved price realisations are predicated on the assumption that the share of production retained for self and local area consumption will fall from 48 per cent in 2015-16 to 40 per cent by 2021-22 and 2023-24. Further, the share of milk handled by organised cooperative and private dairies will shoot up from 21

The second component of production is milk yields per animal, A woman pouring milk at a village bulk cooler in Gujarat’s Surendranagar district which is expected to go up by 52 per cent per cent in 2015-16 to 33 per cent in

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33 it would take nine months for the animal to produce a calf. That upgraded calf, assuming it is female, will take 15-18 months to grow into a cow ready for insemination. Adding another nine months of pregnancy, it would require some three years for the results of breeding to show up in higher milk production, provided everything turns out well.

2019-20, 41 per cent in 2021-22 and 52 per cent in 2013-24. With the aggregate procurement by organised dairies slated to soar from 873.06 lakh litres per day (LLPD) in 2015-16 to 4,259.79 LLPD — alongside a corresponding decline from 1,324.45 LLPD to 671.77 LLPD for unorganised players — farmers can expect to be paid better for the increased quantity they would sell, both on account of higher per-animal productivity and lower share of milk retained for self/local consumption. But the dairy industry does not appear too convinced about these projections. “Where is the market to support 9 per cent-plus annual production growth? We are, as it is, in a surplus situation in milk powder and have been priced out of the world market. If output were really to touch 300 mt, who will buy all this milk?,” asked the managing director of a leading cooperative dairy concern.

And here, they are talking of increasing the average annual milk yield from under 1,700 kg to nearly 2,600 kg per animal, that too, using indigenous breeds,” he noted. Both he and the earlier-quoted

Interestingly, the Ministry’s Action Plan document itself has projected the domestic demand for milk at 211 mt in 2021-22, 241 mt in 2025-26 and 274 mt in 2028-29. It, then, raises the prospect of a huge surplus, which cannot easily be exported out. The chairman of a south-based private dairy, on his part, raised doubts over the feasibility of augmenting milk yields of animals within the time span envisaged in the Action Plan. “Suppose I inseminate a nondescript cow with the semen of a superior bull,

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cooperative dairy representative claimed that the industry wasn’t involved in drafting the Action Plan. “It was entirely their (Ministry’s) exercise and we were not even consulted,” they added. But the real elephant in the room, which can potentially upset all assumptions and calculations, could be the recent anti-slaughter legislations and rising cow vigilantism. Their impact on milk production especially with the management and disposal of unproductive animals becoming a veritable nightmare for farmers is not known for now. That might not be the case, though, in the medium and long run. Courtesy:Trustee of BAIF Development Research Foundation


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National Dairy Farmers Assuring Responsible Management

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ational Dairy Farmers Assuring Responsible Management (FARM) gained the acknowledgement of being certified as ISO compliant. It is now the first livestock animal care program in the world to be recognized internationally for its industry-leading animal welfare standards. The U.S. Department of Agriculture confirmed that the program complies with the International Organization for Standardization’s (ISO) Animal Welfare Management/General Requirements and Guidance for Organizations in the Food Supply Chain. National Milk Producers Federation (NMPF) Chief of staff Emily Meredith said, “FARM Program is

ISO compliant validates everyone’s hard-work who has contributed to the FARM Program in past decade — from the veterinarians and academics that helped design the program to farmers and dairy cooperatives who implement it. The U.S. dairy industry has worked hard to make FARM Program a best-in-class animal care program not just in the United States but, now, around the world.”

gram to ensure that independent welfare programs meet the specifications of the ISO standard. The ISO compliance means that dairy customers both here and abroad can safely trust that their products meet the stringent, internationally recognized animal welfare standards set by the OIE. Meredith said, “What’s more, our dairy farmers can rest assured they only need to comply with one program — FARM and not a potential myriad of other guidelines. This recognition becomes even more critical as nearly 16 per cent of U.S. milk production is exported to foreign customers.”

ISO is an independent and international standards-setting body, has worked with the World Organization for Animal Health (OIE) for several years to help farmers and animal welfare programs like FARM determine how to implement species-specific animal welfare standards. OIE, the World Trade Organization-recognized body for setting animal health and welfare standards affecting international trade, adopted dairy cattle welfare standards in 2015. USDA’s Agricultural Marketing Service offers a voluntary marketing pro-

After a lengthy assessment process, FARM Program now has a prestigious, independent corroboration that its science-based approach to high-quality animal care sets the standard for the dairy value chain in the U.S. and around the world, NMPF noted. “Consumers can trust that the dairy foods they consume came from animals treated under internationally recognized, quality animal care standards.”

Long Clawson Dairy expands US headquarters with huge investment

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ong Clawson Dairy is the biggest stilton manufacturer in Britain producing delicious cheeses since 1911. It uses milk from more than 43 local farms across Leicestershire, Nottinghamshire and Derbyshire to produce cheese that is sold around the UK as well as Europe, North America and Australia. This stilton cheese maker has just made expansion plansto help drive global sales. Long Clawson Dairy near Melton, has extended their headquarters and purchased new machinery, with a £7 million funding package from Lloyds Bank Commercial Banking. The business turned to its long-term banking provider Lloyds to grow its headquarters.The extension was completed by Lincs construction company Lindum Group, which specialises in food manufacturing sites and has provided the business with the space to boost its capacity for future growth.The dairy has

also secured an asset finance facility from Lloyds Bank to facilitate it purchase machinery that will help meet the growing demand without impacting day-to-day cash flow. Long Clawson Finance Director, Luke Goddard said “Long Clawson Dairy started out as a small, local cheese maker and as we have expanded and always kept that same ethos by locally sourcing all of our produce.It’s hugely rewarding to see our cheeses being enjoyed around the world, and the extended site and new machinery means we can continue to expand our business and share our products with more customers.Lloyds Bank has been instrumental in our growth and the team really understands our business values. We are looking forward to working with them again in the future.” Relationship Director at Lloyds Bank Commercial Banking, Andy Dunlop said “It’s great to see two of our long-standing

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East Midlands customers, Long Clawson Dairy and Lindum Group, collaborating on this project and capitalising on the opportunities in the all-important North American market. We are committed to help Britain prosper hence we are supporting ambitious mid-sized businesses to continue to realise their growth ambitions both internationally and at home.” Last autumn the Leicestershire dairy’s Blue Stilton was chosen as the Supreme Champion at an international awards ceremony – for the third time in four years. It was selected as the top cheese at the Global Cheese Awards after winning the accolade in 2014 and 2016. Blue Stilton was also chosen as the global champion cheese and the best blue cheese. The dairy’s Blue Stilton also won gold medals as the best hard blue vein cheese, the best whole Blue Stilton and the best two halves. The company’s Rutland Red Cheese also won awards.


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Seize the ‘global opportunity’: ICOS to Irish dairy sector

rish Co-operative Organisation Society (ICOS) stated that every litre of milk produced in Ireland is currently the most carbon-efficient litre of milk in Europe – a distinct competitive advantage for Irish dairy farmers. This must be further supported in the years ahead to ensure continuing, sustainable and longterm success, a new report on the dairy farming sector has recommended.This was the finding of the report – “Positive Steps Towards a Low Carbon Future for the Irish Dairy Sector” produced by the organisation. The document was launched by Minister for Agriculture, Michael Creed, together with Professor John Fitzgerald, Chair of the Climate Change Advisory Committee and Martin Keane, ICOS President which represents all dairy processing co-operatives in Ireland.

eratives in delivering future sustainable growth and reviews the development of public policy related to climate change and agriculture. The sustainability credentials of the Irish dairy sector are outlined in detail and the importance of fostering knowledge sharing is emphasized.

warming is an important strategic challenge facing Irish and global agriculture. Very significant investments have been made in the future processing capabilities of our industry. Producers have contributed strongly to that, including investment and expanded production. Research suggests that dairy expansion for the period 2016 to 2020 will result in a €2.7 billion economic impact for rural Ireland.” The ICOS report outlines the role of co-op-

The report follows from a working group established in 2016 by ICOS, following from the Paris Agreement. It involved a number of discussions held by the working group with a range of external experts involved in climate change policy, science and research. The report follows from a working group established in 2016 by ICOS, following from the Paris Agreement. It involved a number of discussions held by the working group with a range of external experts involved in climate change policy, science and research. ICOSnoted that following major advances in terms of productivity, efficiency and milk quality standards, greenhouse gas emissions from agriculture in Ireland today are 3.5 per cent below 1990 levels. Since carbon assessments began across dairy farms in Ireland in 2012, there has been a consistent downward trend in the average carbon footprint on Irish dairy farms. The carbon footprint of fat and protein corrected milk has reduced from 1.21kg CO2e/kg in 2014 to 1.14kg in 2016. ICOS President, Martin Keane said “Climate change due to global

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“There is no room for complacency. There is simply too much at stake. Agricultural systems throughout the world will have to provide extra food to feed a growing population – expected to exceed 11 billion people by the end of this century. This proposal, if implemented, would damage the competitiveness of Irish agrifood exports, while benefiting little to the environment. In reality, it would be counterproductive, resulting in the possibility of carbon leakage.”


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New Fonterra bottled milk explores Chinese appetite for online shopping

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onterra is looking towards the vast Chinese appetite for online buying with a new range of bottled fresh milk. Though, there is a twist as the co-operative’s Daily Fresh milk range, sourced from its own dairy farms in the Hebei province, can be bought by Chinese shoppers in a retail model by ecommerce giant Alibaba. Fonterra Greater China, President Christina Zhu said the new product delivered to the growing domestic demand for higher-quality fresh products.”Shoppers here in China are becoming increasingly sophisticated in terms of their tastes and preferences, which are being driven by rising household incomes. More than ever before, consumers are consciously seeking products that are fresh, nutritious and safe, and our new product for Hema caters to this.” Fonterra first placed the fresh milk bottles on Hema shelves on December 12. Fonterra has worked with Hema Fresh to make fresh milk in 750 ml bottles available in 14 Hema stores in Shanghai and Suzhou. Shoppers can select their goods in stores using their mobile phones to browse and buy. Or they can order online for a 30-minute delivery within a 3 km radius. Hema emerged in early 2016 and is being described as a major signpost of China’s new retail trend, which Alibaba founder Jack Ma coined as being the intersection of online and offline shopping. More than 75 per cent of China’s urban consumers are expected to earn $13,000

to $49,000 (RMB 60,000 to 229,000) each year by 2022. This is up from just 4 per cent in the year 200 and is expected to result in a shift in their buying power. The fresh bottle range has labels to match each day of the week to emphasise its freshness, with stock replenished overnight Initially Fonterra will provide three tonnes daily. Anchor UHT milk and the brand’s range of butter, cream and cheese items are also being sold through Hema with the retailer using Fonterra ingredients for its bakeries in stores. Vice President of Brands Fonterra Greater China, Chester Cao said the fresh milk brand, in partnership with Hema, had been in development for four-plus years in a ‘new channel market’ and had been made possible because of Fonterra’s domestic supply, distribution and good reputation for supplying high quality milk. Project Business Development Manager at Fonterra, Arthur Kung said the Daily Fresh range had become the second highest selling product in the fresh milk category in Hema stores within the first week of its launch. Initial sales looked promising for future growth alongside Hema expansion. “Milk sold for about $4.15 a 750 ml bottle, or 19.45 RMB which shoppers could buy from a Hema store or online from their home or on a bus. Fresh milk was more expensive in China and the range was in the premium segment. The online selling model provided consumer insights including the type of products

shoppers bought, which day of the week and what time they bought them and how much they purchased.” This data was “powerful” information for retailers who could work out if it timed with festivals or dropping temperatures to provide specials and match products closely to the needs of shoppers. China was world class in online shopping trends. Hema Fresh Chief Executive and Founder Hou Yi said he was excited by the strategic co-operation between the companies. “This co-operation between two powerful companies is set to redefine the concept of fresh milk in the new retail era. As a global leader in the dairy industry, Fonterra is well-known for quality milk pools, world-class breeding techniques and advanced experience in food safety and quality, which matches well with what we advocate.” Zhu said the new product highlighted how Fonterra’s business in China was leveraging the strength of its local milk pool across three farming hubs. “No other multinational dairy company in China has a local milk pool to draw from, so we are in an advantageous position.” Daily Fresh is Fonterra’s milk brand sold directly to consumers in China. Until lately, raw milk from its farms has been supplied to a range of customers such as Yili and Bright for them to use in their own products. Last year the first Anchor Food Professionals UHT product was launched, and now this has been followed up by the Hema range.

Increasing global demand boosts Idaho dairy exports opportunity

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. S. dairy exports grew 14 percent in 2017 to $5.48 billion improving stance for Idaho’s dairy industry, the state’s economy and farm families throughout the state. CEO of Idaho Milk Products, Daragh Maccabee stated “The U.S. dairy industry, in places like Idaho in particular, has a great opportunity to supply an increasing proportion of the growing global demand for dairy products. Supported by common-sense trade policy, we can continue to see the immense benefits of dairy exports for our state and the U.S. as a whole.” Idaho vies with New York in the rankings for the third-largest producer of milk in the U.S., and dairy is

the state’s leading agricultural sector. In 2017, the state’s 490 dairies — all family owned produced 14.6 billion pounds of milk. Only California and Wisconsin consistently surpass Idaho in milk production. CEO of Dairy West, Karianne Fallow said “while Idaho only gets a small piece of the national dairy export pie — 6.9 percent — its share has grown from about 5 percent in 2014 and contributes significantly to the state’s bottom line.Idaho’s dairy farmers not only feed families here in Idaho, they help feed the world. As Idaho looks to grow demand for our dairy foods, exports will undoubtedly play an increasingly important role.”

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Idaho’s $336 million in dairy exports in 2016 generated more than $735 million in economic activity in the state. Dairy exports also created 4,185 Idaho jobs in 2015, the most recent year for which data is available.Maccabee said the 2017 export numbers are very encouraging. “However, continued focus on growing exports across the full dairy portfolio is a critical factor in underpinning long-term, sustainable growth for processors and producers alike. The industry needs to support positive trade relationships with key partner countries. In Idaho, the dairy community understands the importance of moving product beyond its borders.”


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Irish Butter exports rise 60pc since last year

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airy products consumption is on the rise in several parts of the world, nevertheless butter seems to top the list among others. Ireland has a lot to offer to other countries but when it comes to exports, butter continues to be the big winner for Irish food and drink exports. Why do consumers love this product?Last year, dairy products were the largest sector of Irish exports and this was driven by butter sales worldwide. Sales of Irish infant formula and beef are growing, but butter continues to remain the stand out product and for a number of reasons. A picture of butter made the front of popular magazine in 2014 with the headline ‘Eat Butter’. It heralded a revolution in consumers’ attitudes to ‘bad’ fats such as butter, which are now considered not only better than alternatives such as margarine and low-fat spreads, but actually that fats are good for you.In case you have never heard of the LCHF (low carb, high fat) diet, it’s the one where people put butter in their coffee.

and butter in some countries, including Ireland covered growing demand the supply elastic was stretched so far that supermarkets in France ran out of croissants as butter supplies fell and bakers were not able to source the key ingredient as demand for unadulterated butter drove prices sky high. Irish dairy production is up 6-8pc as the end of milk quotas saw

Yes, that’s butter in coffee instead of milk or cream.If you are maintaining a Paleo diet, butter is good too. While it’s the high fat content that is behind the trend towards diets that shun refined foods, is the taste of Irish butter, namely Kerrygold, that always the most preferred butter of choice. Whether you wish to add butter in your coffee or simply apply iton toast, Irish butter is the choice of consumers worldwide. Kerrygold is the top selling butter in Germany, selling more than any other imported butter. The main reason as to why Irish butter is so popular is because of the rich yellow colour and depth of flavor. Consumer trends are always changing, but there has been a steady move towards healthier and more natural fats in recent years, and that’s good news for butter.Ireland is the largest exporter of butter in the EU and last year as other countries saw dairy production contract and with it butter availability not able to keep up with growing demand, butter prices soared. The increased production of milk

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dairy farmers expand in recent years and continued consumer demand will be needed to ensure Irish dairy products find a home in fridges around the world.Bord Bia’s CEO Tara McCarthy described the sales of Irish butter as ‘exceptional’ as consumers chased new health options and demand continued to grow and sales of Irish butter are heading towards €900m. Our climate allows Irish cows to spend most of the year outdoors, eating grass, which gives the butter a naturally yellow colour and richer flavour. But it comes at a cost - Kerrygold is 50pc more expensive in Germany than regular butter and since last year Kerrygold will be on supermarket shelves in South Korea.


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Arla Foods in JV with Indofood CBP for expansion in Indonesia

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oint ventures and mergers have always worked well for companies to increase their profit margins and capture wider market presence. Arla Foods has teamed with PT Indofood CBP Sukses Makmur Tbk (ICBP) in a joint venture that is likely to expand Arla Foods’ presence in the Indonesian market. Arla Foods said it is taking another step in its ‘Good Growth 2020’ strategy that is focused on strategic growth in global markets. The new company will be called Arla Indofood Sukses Makmur. Arla Foods will control 50 per cent of the joint venture

(plus one share), while ICBP will control 50 per cent (minus one share). Executive Vice-President of international business at Arla Foods, Tim Orting Jorgensen said “We are pleased to enter into a partnership with ICBP, who has strong experience with dairy and has an extensive FMCG distribution network in Indonesia with access and relationships to all key retailers. Teaming up with ICBP will allow us to offer our high-quality dairy products to more Indonesian consumers.” Director of ICBP, Axton Salim said the partnership gives ICBP access to “a strong innovation and research platform.

Arla is also one of the leading global brands associated with European quality. This collaboration will complement our existing dairy business in Indonesia.” The collaboration is centered on the sales, distribution and production of dairy products, ICBP maintains a strong foothold in the overall consumer branded products sector. The company also is involved in noodles, snack foods, food seasonings, nutrition and special foods, and beverages. ICBP also operates a packaging business, producing flexible and corrugated packaging to support its main business.

Former Dairy Makes First Commercial Peanut Milk first packaged peanut milk on the market. It also sells ‘milked’ almonds, rice, oats, walnuts, hazelnuts, and cashews. Many other plant-based milks, by contrast, start with water and a mix of ingredients like xanthan gum or carrageenan to give a sense of creaminess, and then add a tiny amount of nut butter or paste.

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n 2016, Elmhurst Dairy closed its plant in Queens as the company sold milk in New York City for almost a century. The dairy started with a small farm in the Elmhurst area and grew to become huge bottling plant making it one of the largest dairy manufacturers on the East Coast. It came to a point wherein they no longer could make the economics work. Milk sales were falling, competition was getting tough. On the site of a processing and packaging facility in Elma, New York, owned by the dairy’s sister company, Steuben Foods, the dairy built a new facility for processing nuts, seeds, and grains. The plant uses a process that mechanically separates raw almonds or peanuts or grains of rice into all of the nutritional components–carbohydrates, protein, fiber, oils, micronutrients–and then reassembles them into a creamy, milk-like liquid. Elmhurst Dairy owner in his eighties decided to take a turn. In 2017, it started making plantbased milks. In January, it released the

Food Scientist Cheryl Mitchell, who developed the process Elmhurst– now called Elmhurst Milked said “We bring in just the grains, nuts, and seeds, and start fresh from those products. The other companies that are out there, it’s actually a formulated product, they are not adding enough nuts to get a nutritional value.”Mitchell started developing plantbased milk in 1970s with Rice Dream, but was annoyed with the process used at the time. “We started with just brown rice, although we ended up with this formulated product of a mixture of oils and stabilizers and gums and calcium carbonate to make it look more like milk.” She left the company and spent five years doing research on alternative process, eventually touching cold-milling “milking” technique now in use at Elmhurst Milked. At the processing plant, a shipment of nuts or grains goes through a series of tanks that gently separate the individual nutritional components. In some cases, fiber is removed, but then protein and other nutrients are recombined into the

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final product. When fiber is removed, the company sells it for use in making baked goods or pasta, so the process produces no waste. When Mitchell met Henry Schwartz, Elmhurst’s owner, and told him about the technology, Schwarz realized thispotential. “He realized that the trend was moving toward mostly plant-based foods.” Milk sales have been declining for decades, and are expected to drop 11 per cent in the U.S. from 2015 to 2020; non-dairy milk, by contrast, is quickly growing in sales. From 2017 to 2020, the market is expected to grow from $2 billion to $3 billion. Unlike some non-dairy products, like milk made with pea protein, Elmhurst Milked is not trying to replicate the taste of cow milk. The hazelnut milk tastes like hazelnuts; the almond milk tastes a little like almonds. Peanut milk tastes like peanuts. While peanut milk isn’t entirely unheard of–State Bird Provisions, a restaurant in San Francisco, has sold it as a wildly popular dessert–Elmhurst Milked is the first to sell it on grocery shelves. The company sees new culinary possibilities in its products, Mitchell said. It is also developing non-milk-like products, including a replacement for egg whites, and a hemp protein that is designed to replace chicken. “We’re at a totally new era of food. We just unlocked a whole new door of ingredients.”


39

Bega Cheese achieves best cheddar in 2018 Australian Grand Dairy Awards

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ustralian Grand Dairy Awards recognizes the excellence and innovation in Australian dairy produce and acknowledge the achievements of the highly skilled, pioneering people. You don’t need to look any further than Bega to find Australia’s best cheddar cheese. Bega Cheese’s Heritage Reserve Vintage Cheddar has just been named Champion Cheddar Cheese at the 2018 Australian Grand Dairy Awards. Now in its 19th year, the prestigious Australian Grand Dairy Awards recognises and rewards Australia’s top producers for their expert craftsmanship across 18 products. In a meticulous judging process, 24 dairy experts sampled hundreds of gold medal winning products to crown their champions. Flavoursome cheeses, sensational ice creams, luscious milks and velvety yoghurts, among other products, were thoroughly assessed for flavour, aroma, texture, body and appearance. The

panel of judges, led by renowned dairy educators Russell Smith and Mark Livermore, commended Bega Cheese’s Heritage Reserve Vintage Cheddar for its big, bold, slightly fruity flavours and crumbly texture. Executive Chairman of Bega Cheese Barry Irvin said it was an honour to be recognised by the esteemed awards for their quality and craftsmanship.“At Bega Cheese we are always very proud that the products we produce are loved by customers in Australia and around the world.

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It is an honour to receive an Australian Grand Dairy Award for Champion Cheddar Cheese. Of course creating winning dairy products is not possible without great farmers and great staff dedicated to producing a great product. Thank you to all our farmers and staff for their important contribution to the winning of this award.” Amanda Menegazzo, Convener of the Australian Grand Dairy Awards said the awards are a fantastic opportunity for local farmers and producers to be recognised on a national scale for their talent, hard work and making a positive contribution to the dairy industry. “The calibre of our 2018 Champion products is testament to our dedicated dairy producers and the one incredible ingredient all these products have in common, Australian milk.”


40

International Dairy Federation appoints new Director General

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o aid the global dairy sector, International Dairy Federation (IDF) ensures that the best scientific expertise is used to support high quality milk and nutritious, safe and sustainable dairy products. This organisation is committed to drive forward its scientific heritage and help dairy sector make a greater impact in a fast-moving media and political climate. Caroline Emond has been appointed to the post of Director General of the IDF. Capturing her comments on the first day in her new role, Emond said “I am delighted to be joining International Dairy Federation as Director General and I am proud to be an IDF Global Dairy Ambassador.The IDF is a prestigious institution with a history stretching back over a hundred years and the chance to lead and contribute to the ongoing success of the IDF is a great opportunity.I am passionate

about continuing the IDF’s essential work and communicating these efforts as widely as possible in a compelling fashion.” IDF has an excellent record in fostering development of dairy-related science. The IDF’s unique ability to gain global consensus on key issues makes it the united voice of the international dairy sector. That, coupled with its respected multi-sectoral expertise places it in a strong position to make a real difference on behalf of the dairy sector and significantly contribute to consumers, producers, processors and stakeholders around the world. She also added that, “I look forward to building on the excellent work undertaken by my predecessor Nico van Belzen and join a dynamic team and engaged community of experts around the world. I plan to bring energy, dynamism and a wealth of relevant experience to ensure that the IDF maintains and enhanc-

es its position as the authority on global dairy matters. It is imperative that the dairy sector extols the virtues of dairy produce and clearly demonstrates how dairy an essential part of a healthy, balanced and sustainable diet is. I will engage proactively with the relevant stakeholders to further the dairy sector’s interests and ensure the IDF provides international policy makers and influencers with science-based guidance and leadership.”

Vancouver Island farmer milks tech skills to combat dairy industry hitch

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ory Spencer made a career shift from coding to milking a decade ago. He left his job as a software developer to lead a life wherein he could raise goats and making cheese in the Cowichan Valley on Vancouver Island. But then what goes around comes around and Spencer had to use his tech skills after one of his 100-goat herd came down with an udder infection. By the time he detected it, he could give treat it but the animal suffered irreparable damage. Mastitis — a common udder infection is expected to cost global dairy industry billions of dollars every year. Most large dairy operations use robotic milkers that take small samples during the milking process to test for signs of infection in the

udder. Spencer said the robotic systems are out of reach for smaller farms like the one that he co-owns, along with The Happy Goat Cheese Company, with his wife Kirsten Thorarinson. The new tool developed takes a picture of the udder with a special camera that can detect heat signatures, which are elevated temperatures that occur around a wound or infection. Spencer said “I began thinking how Ican leverage my previous career in computers to help me detect these sorts of infections in the future. The information is run through computer algorithms and provides results at a sub-clinical stage of infection, enabling earlier treatment with better results than other diagnostic tools. With a pretty good confidence level we can say this animal needs attention from the farmer.” Spencer is now Chief Technology Officer of a

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new company, EIO Diagnostics which is fine-tuning two models of the diagnostic tool, including a handheld model and a larger one for automated milking barns. The barn-mounted model scans the udders of cows and goats as they enter the milking stall. The EIO scanner has attracted significant interest from the dairy industry in Canada as well as the United States, New Zealand and Mexico. It is set for expanded field trials in 2018.


41

Facial recognition the next big thing for dairy industry

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ublin-based Cainthus uses breakthrough predictive imaging to monitor the health and wellbeing of livestock. Their proprietary software uses images to identify individual animals based on hide patterns and facial recognition, and tracks key data such as food and water intake, heat detection and behaviour patterns. This technology must be used by dairy farmers who can get regular updates on their livestock health. Cargill will change about how animal producers take decisions for livestock via a partnership with machine vision company Cainthus. They aim to bring facial recognition tech to dairy farms around the world. The software then delivers analytics that drive on-farm decisions that can impact milk production, reproduction management and overall animal health.

loss, and ultimately increase farm profitability is significantly enhanced with this technology.” Cargill and Cainthus intend to first focus on the global dairy segment, but will expand to other species, including poultry and aqua in the next several months. --A Report

This imaging technology can identify individual cows by their features in several seconds to memorize a cow’s unique identity, recording individual pattern and movements. That information is used as part of an artificial intelligence-driven mathematical algorithm that conveys imagery into feed and water intake analysis, behavioural tracking and health alerts that can be sent directly to the farmer. Data obtained from those images is used to anticipate issues and adjust feeding regimens. What used to be a manual process that took days or weeks now takes place in near real-time. Managing Director for Cargill’s digital insights business, Sri Raj Kantamneni said “Our shared vision is to disrupt and transform how we bring insights and analytics to dairy producers worldwide. Our customers’ ability to make proactive and predictive decisions to improve their farm’s efficiency, enhance animal health and wellbeing, reduce animal

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42

€2m partnership to develop artificial intelligence for farmers aims to ease workload for farmers by data collection on herds and presented it in a manageable way.

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orging several pacts and agreements that will bring about revolutionized changes in the dairy industry, Irish dairy equipment manufacturer Dairymaster has entered a €2 million partnership to develop intelligent autonomous systems for farmers.The research and development programme with IT Tralee and Limerick-based software research centre Lero

Dairymaster’s Research and Innovation Manager, Dr. John Daly summarized that with average herd sizes of between 100 and 200 cows, farmers cannot examine each individual cow on a daily basis. “As farms get larger and the labour available on farms gets less and less, you have one person running this business and they have to be an expert in equipment, in animal science, and the like. This is to help the farmers do all of that and to take away some of the effort in making all these decisions.” Dairymaster employs 350 people and exports to 40 countries.

The Kerry-headquartered group, led by Prof Edmond Harty, was the winner of EY Entrepreneur of the Year programme in 2012. As a result of the investment, a team of researchers will be hired to work with Lero and Dairymaster’s research and development teams. Dr Joseph Walsh of IT Tralee noted that one of the key challenges for the dairy industry is the availability of skilled labour. “Automating labour intensive processes will not only be hugely beneficial to the farmer, but will also enhance animal health and milk quality by ensuring tasks is completed to consistently high levels.” The 3 and half year project also aims to use data analytics to boost dairy farm productivity. Daly concluded, “We see this whole area of artificial intelligence and autonomous systems as being key to the future of dairy farm profitability and sustainability.”

Future of dairy depends on sustainable and responsible production

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airy industry leaders from across the world met and discussed public opinion combined with environmental and socioeconomic impact of dairy at the International Dairy Federation (IDF) Symposium in Seville, Spain held on 1st and 2nd February, 2018. Consumers are looking for reassurance from food producers, processors and retailers that it is responsibly produced. This growing interest has led Department for Environment, Food and Rural Affairs (DEFRA) Secretary Michael Gove to announce a ‘gold standard’ in food labelling,

highlights the credentials and quality of British produce in supermarkets.As a consequence of this increasing interest, food retailers are looking for ways to provide such assurance to their consumers, either through the creation of sustainable sourcing evaluation, audit programs or endorsement of existing dairy industry programmes. In the United States, nearly 98 per cent of all farms belong to the National Dairy FARM (Farmers Assuring Responsible Management) Program, which sets the highest standards for animal care, antibiotic use and environmental sustainability - all in the spirit of continuous improvement.The FARM Program was recently approved as compliant with the ISO Technical Specification on Animal Welfare - indicating that the program now meets the highest international standards for animal care and wellbeing. National Milk

Producers Federation (NMPF) Chief of staff Emily Meredith explained “The future success of the dairy industry depends on our ability to tell our story about how milk is sustainably and responsibly produced.Industry programs, like the National Dairy FARM Program in the United States help to both set standards for farmers and tell our sustainability story in a relatable way to food producers and consumers.” Meredith said that milk production has a very unique position. On one hand, she said, it provides livelihoods for hundreds of millions of people and for many is essential to their survival. But on the other hand, it accounts for a large proportion of the cost, resources used and non-fuel greenhouse gas emissions of the dairy chain.


43

Fonterra A2 move is a big deal

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s recently as 2016, Theo Spierings, chief executive of Auckland-based Fonterra Cooperative Group, the world’s biggest dairy exporter, described A2 milk as just a “marketing concept”. Last week, Fonterra struck a “comprehensive strategic relationship” with the ASX-listed A2 Milk Company (A2M), where Fonterra farmers will supply A1 protein-free milk to A2M and develop herds, sell A2M’s fresh milk into the New Zealand market and assist A2M into new international markets where Fonterra has existing operations. The agreement will also explore A2 Milk-branded butter, cheese and China-sourced liquid milk, as well as investing in blending and canning facilities, most likely in Australia. It’s A2M’s biggest endorsement by the dairy industry yet, underscoring the power of branding in the sector. It’s also the latest sign that A2M’s disruption of the highly commoditised milk market is being taken very seriously. “The A2 proposition is very real, consumers have voted ... this is a great opportunity and we should be practical and pragmatic about how we create value for farmers and shareholders,” Fonterra Australia managing director Rene Dedoncker said. The group was beginning to

www.agronfoodprocessing.com

talk to its farmers about supply and so far, the response had been “overwhelmingly positive”. Coinciding with a better-than-expected result, the deal sent A2M’s market capitalisation soaring 35 per cent to about $10 billion, around the same level as Fonterra’s own – though A2M was only founded 18 years ago by scientist Corran McLachlan, after he identified the fact that cows produce different types of milk protein. Rabobank analyst Michael Harvey said the alliance was significant on a number of fronts for the dairy industry, and said the argy-bargy around the science of A2 milk proteins had been put to one side.

“It’s big news and it surprised me,” he said. “My initial thought, it is one of the biggest dairy companies in the world providing support for A2 concept. “People are against the science and people are for the science, there’s a lot of debate in the market about the validity.”

Manufacturer of : Ice Candy Packaging & Coding Machines


44

A blockchain for the Dairy industry?

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ell, everyone seems to be talking about it, we wanted to share our thoughts on BlockChain and how it can be used for doing good–for the food industry. Do you know where the milk you drink comes from? Do those cows have a happy life or do they get sick often? What do they eat? Is their feed produced in a sustainable manner? How much of the price you pay at the supermarket went to the farmer for his milk? All these questions relate to the problem of food traceability: knowing where the stuff we eat comes from, and what happened to it along its journey to the supermarket. With ever rising prices of crypto-currencies, blockchain technology has become a popular name. At Connecterra, we are always on the lookout for new tools that will bring us closer to our vision of making agriculture more efficient. One of the use cases for blockchain is precisely that of keeping a public chain of transaction records, such as what we need for food traceability. Therefore, blockchain is a technology that we can potentially use as a component in our platform towards a solution. So, how could we apply the principles behind the blockchain to the dairy industry? More importantly, could we use them in such a way that some value is clearly added to this industrial chain? How would such a future look like? Let’s have a look! An example blockchain for the dairy in-

dustry. Different agents are responsible for adding new blocks in the chain at different moments within the process. The dairy farmer: Farmer using Connecterra’s Ida service, we can automatically add new blocks into the blockchain indicating how healthy your cows are. Furthermore, you could even decide what information you are willing to share with others, and what you are not. Afterwards, your milk meters or farm management software could give us the milk yield for those cows, generating a full profile of your cow within the blockchain. Up to this point, this is completely transparent to you. Once your milk is picked up by a truck, you can easily use an app to confirm the transaction between you and the distribution company: cryptographic technology will ensure that this is done in a way that can be easily validated by third parties. The consumer You walk into the supermarket one day and notice that

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some brands of milk incorporate a QR code on their packaging. Curious about it, you take out your phone to read it, and it redirects you to a webpage where you can see all the information contained within the blockchain, as shown in the above image. Now you are able to get answers to questions that, as a conscious customer, might have a large impact on your purchasing choices: • Where did this milk come from? Is it from a farm in the province where I live? • Did the cows that produced my milk have any diseases or were they all? Was outdoor grazing allowed for these cows? • From the price I am about to pay for this milk, how much did the farmer make out of it? • Did producers run a milk analysis? If so, did anything strange come out of them? • Was the cold chain kept properly during transportation? How old is this milk anyway? Connecterra’s technology stack Connecterra’s data platform is easily scalable to handle such volumes of data and transactions. By streaming our insights and behaviour data to our hosted blockchain, we can provide processors, transporters and consumers with the necessary trace of their food, therefore enabling a fairer and more transparent value chain. The value created from this is directly aligned with our vision for a more sustainable and efficient agricultural industry. Source : www.connecterra.io


45

How Blockchain Technology Is Improving Food Supply Chains

By Prableen Bajpai (CFA) Founding Director Fin Fix

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upply chains are an integral part of most business, and even government, processes. A supply chain is an ecosystem of multiple entities working together to bring a product or service from the producer to the consumer and are aimed to ensure speed, cost, and system efficiency. Despite best industry practices, the supply chain process can break down at certain points over issues such as tampering, counterfeiting, substitution, misrepresentation, violation of laws and other such problems. This can result in cases of product recall, disputes, legalities, and in extreme cases, even death. These result in huge economic losses and tarnish the company’s image and brand value while triggering health, ethical, social, and environmental concerns. Today, we’re going to look at how the food industry deals with supply chain issues, and how companies are turning to blockchain technology to try to solve those problems. Common Food Supply Chain Problems Food Fraud The deliberate substitution, tampering, or misrepresentation of food has increased significantly because of the complex global food supply chain system. This costs the food industry an estimated $49 billion worldwide each year, as reported by NSF International. Some food categories which have been a victim of food fraud include olive oil, milk and milk products, fruit juices, tea and coffee, honey, maple syrup, spices, seafood, and many others.

The tainted milk scandal reported in China in 2008 is one such severe case that made news in recent years. Illegal Production Seafood is one category with stark reports of illegal production and entry into the supply chain. The global fishing industry struggles with issues related to illegal, unreported and unregulated fishing (IUU). A 2015 report highlights that IUU fishing accounts for 10% to 22% of the total global fisheries production. Protocols are abused and thus fall short in fighting over-fishing, violation of international maritime laws, evasion of taxes, and crimes related to slavery and fairness in competition. Foodborne Illness “An estimated 600 million – almost 1 in 10 people in the world – fall sick after eating contaminated food and 420,000 deaths are reported every year, resulting in the loss of 33 million healthy life years,” according to the World Health Organisation’s factsheet dated December 2015. Ohio State University noted in a 2015 study that “the total national cost of food borne illness, up to $93.2 billion a year, [is] an increase from $77.7 billion in 2012.” The Centers for Disease Control & Prevention estimate that each year, 1 in 6 Americans falls sick after consuming contaminated foods or beverages. Food Recalls & Losses Food recall is a major fallout of abuse in the food supply chain which weighs on the profitability and reputation of companies. Based on a study conducted in 2010 by GMA, “It was found that the average cost of a recall to participating food and consumer product companies is $10 mil-

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lion, in addition to brand damage and lost sales.” Over the years, some of the best brands and companies in the food industry such as Cadbury, Pepsi, Coca-Cola, Kraft Foods, Tyson Foods, Nestle, ConAgra Foods, the Peanut Corporation of America, Blue Bell Creameries, and others, have all suffered losses due to recall and withdrawals from the market. In 2015, Chipotle suffered outbreaks of infections resulting in its stock price plummeting by 30% during the year. It reported a 14.6 % decline in restaurant sales during Q42015 and estimated that $14- $16 million will be spent on dealing with crisis management. Supply Chain & Blockchain Solutions Technology giant such as IBM (IBM), and retailers like Wal-Mart (WMT) are working alongside start-ups to digitally secure supply chains through the use of blockchain, which provides shared, traceable, and transparent record keeping. In October, Wal-Mart launched the Walmart Food Safety Collaboration Center (WFSCC) in Beijing, targeted to “analyse root causes of food borne illness, and developing scalable solutions that can be made available to the entire food supply chain across China.” Walmart, IBM and Tsinghua University have collaborated to improve the way food is tracked, transported and sold to consumers across China by applying the power of blockchain technology. Blockchain can overcome the vulnerabilities of the supply chain due to inaccuracies caused by the traditional paper tracking and manual inspection systems. It would facilitate digital tracking and storage of all product information (such as temperatures, dates, batch numbers, shipping details) at all levels and at each stage of the supply chain. This would enable faster and accurate detection of problems. Likewise, Project Provenance Ltd is working towards greater transparency in the fishing industry by tracing the origins and histories of products’ by combining RFID tags with the blockchain. Final Word The breakdowns in the various supply chains don’t just affect profits - its toll is much greater. The use of blockchain can help create more transparent and less vulnerable supply chains to promote better businesses, ethical practices, and healthier lives on this planet. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


46

Don’t waste your money on the wrong inoculant

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he best investments you can make on your dairy often pay dividends in higher yields and intakes, less waste, healthier animals, and, ultimately, greater convenience, efficiency, and profits.

mentation. The “bad guys” typically outnumbered the “good guys.” In fact, the most prevalent bacteria in this sampling were enterobacteria, which can be pathogens like Salmonella, E. coli and other disease-causing bacteria.

That’s why it’s critical to invest in the right inoculant from the start. This article will explain the basic types of inoculants, which crops to use them on, and, finally, how to make specific choices based on the dozens of products competing for your inoculant investment dollars.

Dr. Andy Beardsmore, one of the early leading proponents of bacterial inoculation, expressed this concept clearly.

Skipping inoculation Silage can be made without adding bacterial inoculant, but fermentation needs bacteria. If you don’t inoculate with the specific bacteria found in a quality product, you’re at the mercy of what’s naturally found on the crop in the field, and that’s not always a pretty sight. Millions of bacterial colonies are on every gram of feed in the field. One study from Silage Science and Technology (2003) showed more than 10 million colony forming units (cfu) of bacteria and fungi are found on each gram of forage. The alarming part is less than 10 percent of those organisms are the type that enhance an efficient, lactic acid-based fer-

He said, “There is a huge variation in the numbers of epiphytic (naturally occurring) lactic acid bacteria from crop to crop. Quite often, the naturally occurring bacteria are not high enough in numbers or are of the wrong species to achieve a lactic acid fermentation. Inoculation with a live culture should help direct the fermentation toward lactic acid production.” Two basic inoculant types: Upfront fermenters and aerobic stability enhancers. Which should you use? To answer this question, you need to determine if you encounter problems with spoilage or if a simple upfront fermenter will do the job. For many years, inoculants were only used to drop pH quickly for a fast fermentation via lactic acid production. A rapid production of lactic acid minimizes dry matter losses and maximizes silage quality. Once the pH drops and the silage is not exposed to oxygen, feed quality can

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be maintained in storage for a long period of time. If your feed is consistently put up at the ideal maturity, particle size, moisture and storage density, covered well, and feedout occurs without spoilage or heating, a simple upfront fermenter will suffice. This may seem like a tall order, but a fairly high percentage of feeds, including haylages, corn silage, grass silage and high moisture grains, are treated with a simple


47 upfront fermenter very successfully. Lactobacillus plantarum and Pediococcuspentosaceous are examples of bacteria you’ll find on an upfront fermenter label. Research has definitively shown that not all specific strains of bacteria are equally as effective. For example, L. plantarum MTD/1 is the specific species and strain Vita Plus uses in its Crop-N-Rich® inoculant. Trial data pertaining to this specific species/strain is not applicable to bacteria with similar names in other inoculants. In summary, you might want to use a simple upfront fermenter if you have not typically seen signs of spoilage at feedout, which include heating, visible mold, high yeast or moldcounts, or a “funky” smell at feedout. Need some help with aerobic stability? Lactobacillus buchneri-based bacterial inoculants extend aerobic stability by producing acetic acid, an antifungal compound. Although this class of inoculants has been around for a couple of decades already, their uses and advantages have only been studied more recently, especially in high-value feeds that may be fed off slowly, like high moisture corn.

the primary goal of treating HMC with L. buchneri is to limit spoilage. In addition, because HMC is drier than forage silage, the crop is more prone to spoilage and more inoculant bacteria are required, often one and a half times greater than the normal forage rate. The flow chart can help you decide which inoculant strategy is right for you. This article has covered the two basic inoculation strategies: upfront fermentation and limiting spoilage. However, no additive will substitute good management. Do your best to harvest at the correct maturity, moisture and particle size, treat with a well-proven and well-researched inoculant, aggressively pack the feed into a sound storage structure, cover it with high-quality oxygen barrier plastic, maintain the storage

Corn silage and high moisture corn (HMC) are high in starch and carbohydrates, which act as food for spoilage microorganisms (yeast and mold). Therefore, it makes sense that these crops seem to benefit significantly from the slightly higher acetic acid production and the resulting aerobic stability. By slightly elevating acetic acid in fermented feeds, spoilage organisms, such as yeasts and molds, can be prevented and aerobic stability enhanced. L. buchneri thrives on previously produced lactic acid to create acetic acid. Thus, L. buchneri is often coupled with a lactic acid-producing upfront fermenter in a combination product, like CropN-Rich Stage 2 inoculant offered by Vita Plus, which uses a combination of the lactic acid-producing P. pentosaceous and the specific acetic acid-producing strainL. buchneri 40788. L. buchneri can also stand alone, especially when applied to HMC, since

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structure integrity through the season, and manage the feedout face to minimize oxygen exposure. This investment greatly increases your chances of feeding high-quality forages and protecting your bottom line. Source: www.progressivedairy.com


48 country should be expected or obligated to take care of its own people before addressing the welfare of those outside it. Also in consideration is the fact countries such as Australia can produce some commodities, such as milk, cheaper than many other countries and therefore would have an advantage in a completely deregulated world market.

The Milk House:

On July 1, 2000, Australia became the first major dairy industry in the world without subsidies and market adjustments. The Australian Dairy Industry Council, the farmers’ chief representative body, approached the federal government with a proposal that would end milk price supports and regulations.

Quick, overly simple explanation of global agricultural politics

I

t may not be entirely fair to compare Iceland with Australia – two nations of different sizes and circumstances – but it does illustrate how decisions by those behind a desk can have immense impact for those in the barn. The world is smaller than it was several generations ago. It is often said: If a butterfly flaps its wings in Brazil, it could cause a tornado in Texas – suggesting just how globally connected our existence can be. It might have been that those winds would have passed over our grandfathers and left them to do their farming unbothered. These days, however, not only are agricultural markets played out abroad, but the worldwide ideology of farming policy is persistently at stake at the international level. There are two rival forces when it comes to global agricultural policy. The Cairns group was formed in 1986 to champion the conservative mores of neo-liberalism in agriculture and, more specifically, the removal of all subsidies and tariffs on farming products. Led by Australia, the coalition now consists of 19 geographically diverse countries: Argentina, Brazil, Canada, Chile, Colombia, Costa Rica, Guatemala, Indonesia, Malaysia, New Zealand, Pakistan, Paraguay, Peru, the Philippines, South

Africa, Thailand, Uruguay and Vietnam. The Cairns group campaigns for the end of domestic support for farmers, citing its distorting effect on the international trade of agricultural goods. On the other side of the table sit the U.S., the European Union, Japan, Norway, Switzerland and South Korea. This group favors domestic support and subsidies to its farmers – even if they may provide them differently and at different levels – and is labeled “the multi-functionalists.” The concept of multi-functionality contends farmers should be rewarded for the benefits they provide that go beyond producing a product, such as the environmental protection of land, sustaining rural communities and food security for the nation. Both the U.S. and the EU have reduced the amount of assistance given to farmers in the last decade, although the EU tends to have more programs to help bolster family agriculture. Europe, the U.S. and Japan, having experienced food shortages during World War II, continue to place a high value on ensuring a stable food supply. It is needless to say economics at such a scale are more complicated and nuanced than can be explained in a single column or understood by a simple column writer. Brought into question is how much national citizenship should be valued over global citizenship, and at what level a

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The next year, the Dairy Structural Adjustment Program began, extending a retail tax of 11 cents per liter over eight years, the collection of which went to support farmers as they made the adjustment to a pricing system entirely dependent and at the mercy of the international market. The results were described by most as disastrous. Some regions of the country lost up to 60 percent of their dairy farms within a few years and, presently, few family dairy farms remain. The Australian dairy industry has faced crisis several times in the last decade and is now bracing again for low world prices. As a counterpoint, Icelandic farmers have had a much different experience. In 1934, Iceland decided to support farmers against fluctuating prices with subsidies, eventually enacting supply control. Their protectionist agricultural policy has changed little since then, their quota system for milk being based solely on domestic demand and entirely divorced from the world market. One of the leading reasons Iceland hasn’t


49 sizes and circumstances – but it does illustrate how decisions by those behind a desk can have immense impact for those in the barn.

joined the EU, in addition to safeguarding its fishing rights, is because it does not want to forfeit the measures it enacts to sustain small agriculture. As a result of its policies, Iceland may be the only nation in the Western world in which a herd of 60 cows supports a large family with means comparable to any other occupation. As a result, Icelandic farms have been able to take advantage of technology farmers in other places cannot afford and have ensured family agriculture retains its honored place in Icelandic society. It may not be entirely fair to compare Iceland with Australia – two nations of different

will keep in mind the individuals they will affect and be intimate with the burden of how drastically the lives of a farming family can be accordingly changed.

After forming, the Cairns group Source: Ryan Dennis, Literary Writer, made some gains in the Uruguay Progressive Dairyman Round of the World Trade Organization talks in negotiating with the multi-funcManufacturer of Disposal Plastic Cups tionalists to limit and Food Packaging Containers the type of subsidies and tariffs granted with Multicolor printing to their farmers, and more again in the present Doha Round. Such compromises are difficult to navigate with so many countries’ interests at stake, in addition to the desire to be fair to developing nations. It may be even harder for those of us on the ground (and more specifically, plowing that ground) to understand. Perhaps the first thing to hope for is: Those with the power to work out such decisions

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The Milky Way: A Constellation of Cows

By Chandni Naqvi, Editorial

S

o true to the words, a dairy farm is a milky way with assemblage of the cows.

For centuries, dairy farmers have worked laboriously to find ways to be better dairymen of the land. No matter what the season is and what the place is, there is always a greater demand for milk. Selection of keeping cows or buffaloes on a dairy farm is a difficult question to answer. The cows give more milk than buffaloes. However, fat content in buffalo milk is twice as high as that of a cow. This is the reason why buffalo milk fetches more prices in the market. Buffaloes are hardy bovines and more disease resistant then compared to cows. When it comes to the pricing part, cows are cheaper than buffaloes. Heat cycle detection is easier in cows than in buffaloes. Thus, deciding to keep cows or buffaloes solely is the choice of dairy farmers.

Life on Dairy Farm Cows sleep lying down. What may be surprising is cows don’t require much sleep. Cows grab about two or so hours of sleep each day. It’s natural for non-predator animals such as cows to sleep very little as an inherent survival mechanism against enemies. These are animals that were born under Mother Nature’s protection, and their behaviour is based on predator awareness, so they are always alert against any enemies that may cause them harm. Even though they are domesticated animals, this mechanism is still built into them.

produce more milk. To add to the comfort of the herd, clean and comfortable bedding in the barns should be made available like sand to straw and other materials to absorb moisture while cushioning the animals. When a cow moos, it has a meaning. They moo when they’re happy, hungry or when they’re curious. It just depends. A farm owner or a veterinarian can tell the difference between the moos of the cattle, whether they are hungry, happy, curious or in pain. A farm owner can tell which cow mooed at his entry into the barn.

Because of these traits, cows tend to “doze” more than experiencing actual deep sleep just like humans take afternoon “catnap.” They mostly appear asleep but not quite so. It’s common to see them lift their head even if we are a step or two away. Sometimes they’ll have their eyes closed but we can see their tail twitch or their ears move because they are aware of the presence, so there are signs they are vigilant. While actual hours sleeping may be low, there is no shortage of rest for cows. It’s common for dairy cows to lounge in the barn chewing their cud for up to 10 hours a day. Cud is partially digested food that a cow regurgitates to be chewed again. The more they rest peacefully the more they

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Cows also communicate with body language, which can be seen through the positioning of their ears. If their ears are standing straight out to the side, they’re showing total interest. They’re very attentive and they are looking at whatever holds their curiosity. They could be wary of a distant predator or they may see a person at the farm they’re not accustomed to seeing, so


51 they’ll be looking in that direction. Cows very much just want to express themselves. Why cows chew their cud? When a cow is chewing her cud, it means that she is comfortable, relaxed and eating a good diet with a sufficient amount of long fiber.

It all goes back to the fact that dairy cows are ruminants, meaning that part of their stomach, the rumen, is like a large fermentation vat. It contains bacteria that digest the cow’s feed and convert it into energy and protein.

pay close attention to whether or not their cows chew their cud, and some have even installed monitors to help them keep an eye on the herd’s cud-chewing activity. Depending on where and when you grew up, the thought of milking a cow may conjure up images of a farmer sitting on a short stool, milking the cow by hand into a bucket. Most dairy farmers have special chambers called milking parlours, where their cows go to be milked two to three times a day, depending on the farm. The farmer use these milking machines or “milkers” to milk the cow, which only takes five to seven minutes on average per cow. Depending on the type of farm, the

farmer may have robotic milkers which allow cows to be milked whenever they want. While you can certainly see farmers milking by hand in villages, modern milking machines are now used in most of dairy farms. These milking machines are more efficient as they allow a cow to be milked the same way everyday, which is more comfortable for them. Plus, it’s efficient than milking by hand and its a hygienic practise. The first milking machine originated in1907, and it’s how most of the world today milks its cows. Before a cow is milked, the cow’s udder and teats are washed and cleaned. Then, the milking machine is attached to each cow. The milker may have a hard stain-

Here’s how it works: While fibrous feed like hay is good for cows, they have to break it down quite a bit so the rumen bacteria can digest it. When the cow first eats her feed she chews it just enough to moisten and swallow it. Then the bacteria in the first section of her stomach, the rumen, get to work softening the feed and fiber. This softened food is called the cud, and it is sent back up to the cow’s mouth, where it is rechewed before going back down into her stomach to be fully digested. Chewing cud produces saliva which is important for controlling rumen acidity. Too much acid hinders the growth and function of the rumen bacteria, especially those that digest fiber. Cows need to be comfortable and relaxed to chew their cud, and usually sitting down to do it. They can sit down for very long periods of time, not to sleep, but just to chew their cud. Cud-chewing cows are generally healthier. With a well-functioning rumen, cows will digest more of their diet and produce more milk. That’s why farmers

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52 milk is further tested for quality and safety. At the processing plant, the milk goes through several steps, including: Standardization: Milk goes through a process called standardization, which separates skimmed milk from the cream. Once the two are separated, they can then be rejoined with different fat percentage levels. less steel exterior, but the inside – which attaches to the cow – consists of a soft rubber liner that uses gentle suction to remove the milk in a natural way. At that point, the milk travels through sanitized pipes directly to a tank where the milk is quickly cooled to a minimum 45 degrees or cooler to keep it fresh. These factors help keep cows healthy. Farmers also keep their cows comfortable all year long by providing water misters and fans in the summer and curtains in the winter to protect animals from the wind and cold. This technology is most sanitary and comfortable for the animal than milking by hand.

Pasteurization: After standardization, the milk is quickly heated, which kills any potential disease-causing bacteria and germs that are present in the unpasteurized milk. Homogenization: Finally, milk is homogenized: the fat in the milk is broken into smaller particles so it doesn’t separate and rise to the top. Additionally, milk may be fortified with vitamins A and D to make it more nutritious. At this point, the milk is packed before heading to the store!

Regardless of the farmer parlor style, human hands do not touch the milk. Insulated milk trucks visit dairy farms on a regular basis (including several times throughout the day, every day, depending on the size of the farm) to pick up the milk and take it to a processing plant. There,

Some dairy farmers use their cows’ manure as a natural fertilizer, which helps them cut back on commercial fertilizers. Other dairy farmers may put their cows’ manure into anaerobic digester systems (Biogas systems) to recycle it into clean, renewable electricity and heat can be processed into renewable natural gas and transportation fuels. Farmers often recycle water as many as three to five times. For example, water used to clean barns can also irrigate crops that feed cows. And while you may not realize it, you can find a good deal of hi-tech on a farm, including: Sophisticated collars (like a Fitbit), bracelets or ear tags cows wear that monitor key behaviours like activity, body temperature and how much milk they give. Farmers can use this information to make sure each cow receives equal care. Many of us grew up with drinking milk; we had it with breakfast, cereals,

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54 evening snacks or a glass of warm milk just before going to bed. What is Milk? The milk, be it buffalo or cow’s milk, is usually fortified with vitamins A and D. Types of Milk Some of the most common varieties include whole milk, 2 percent reduced-fat milk, 1 percent low-fat milk and fat-free milk, not to mention chocolate milk, other flavoured milks and varieties that are often used in cooking and baking like buttermilk, evaporated milk and sweetened condensed milk. How much dairy should you enjoy daily? Adults need three servings of low-free or fat-free milk and milk products, such as milk, cheese or yogurt, each day; children need slightly fewer servings depending on their age. Meeting those needs every day is an easy way to get a variety of nutrients that are essential for building strong bones and healthy bodies. Plus, there’s moderate evidence that consuming low-free or fatfree milk and milk products may be associated with a reduced risk of cardiovascular disease, Type 2 diabetes and lower blood pressure in adults. But sometimes it can be difficult to figure out how much is in a serving. Here’s a quick review:

destination, you can either store it the fridge or sit back and enjoy it. • On your way out the door, grab some string cheese. This portable favorite now comes in fun flavors like jalapeño, tomato basil and cracked black pepper. • While lactose-free dairy products are definitely an option for people with lactose intolerance, there are other ways experts suggest still including dairy in the diet.

them. Cows help us honour the harvest by being natural recyclers: Dairy cows and other ruminant animals have unique stomachs that allow them to eat parts of plants and foods that humans can’t eat such as green fodder, raw vegetables, wheat straw, etc. They then are able to unlock nutrition from these human inedible parts of food and turn them into nutrient-rich milk that has nourished people for ages.

Have lactose intolerance? Lactose intolerance is characterized by a number of symptoms, which could include abdominal pain, bloating, flatulence and/or diarrhoea that may happen after some people ingest dairy products. If the symptoms take place because of an inability to breakdown the milk sugar (lactose), then they’re said to have lactose intolerance.

Should kids drink milk? Yes, children and adolescents should drink milk. The consumption of low-fat and fat-free dairy foods, like milk, cheese and yogurt, as part of healthy eating styles are linked to improved bone health, particularly in children and adolescents. Also yoghurt keeps the guts in healthy condition.

Lactose intolerance is a very individual condition, which means people are able to tolerate different amounts of lactose. People often don’t have to miss out on the great taste and health benefits of low-fat and fat-free dairy foods, because there are many options available with varying amounts of lactose. Common Milk Questions Answered Why do we drink cow’s milk? We’ve enjoyed drinking cow’s milk for centuries: Archaeologists and anthropologists have found evidence of people drinking cow’s milk dating back several thousand years, but a shared part of human existence around the world.” It’s not just about taste: While milk tastes great, it’s also good for us – it packs a nutrient punch, plus it’s affordable, readily available and versatile. Plus, milk is the No. 1 source of nine essential nutrients.

Incorporating dairy into your daily routine can be a snap, too. Some suggestions include: • Make a simple latte by adding 1 cup of low-fat or fat-free milk to your morning coffee. • Have fun with your smoothie recipe by blending in some low-fat frozen yogurt or frozen berries. • Try plain Greek yogurt on top of your tacos or baked potato as a healthier topping option. • Stash a yogurt container in your backpack or purse. Once you arrive at your

We not only enjoy milk, but other dairy foods too: from yogurt to cheese, from buttermilk to clarified butter. Dairy offers many delicious ways to get essential nutrients into our day-to-day diet (or meals) from enjoying a yogurt for breakfast to eating away a grilled cheese sandwich for dinner. Milk: A gift from amazing cows, buffaloes and other milking animals. Thus we owe a million thanks to

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Why is vitamin D added to milk? If you’ve ever looked closely at your milk’s label, you may have noticed that vitamin D is added to milk. Why is vitamin D added to milk, you may ask? The answer actually goes back to the early 20th century. In the 1900s, rickets, a childhood bone disorder caused by not getting enough vitamin D, impacted a good number of children. In fact, around 80 percent of children in Boston had rickets at that point in history. Around that same time, scientists began to understand the roles milk’s nutrients play in the body. For example, they learned that milk’s minerals, specifically calcium and phosphorus, were key to bone and teeth development. In 1922, Dr. E. V. McCollum discovered that vitamin D could prevent rickets, because it was needed to help the calcium to get absorbed, so there was a scramble to get vitamin D into the diets of American children.


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Because vitamin D is not prevalent in many foods, fortifying milk with additional vitamin D was a natural solution, since it also contained key minerals for bone development. Vitamin-fortified milk began to appear in the 1920s and became more common by the 1930s. Today the milk found in your supermarket is fortified with vitamin D, which has played a role in making rickets now a rare disease in the United States. Does milk have gluten? No, milk does not have gluten. Whether you choose whole, low-fat or lactose-free cow’s milk, it is gluten-free. In fact, many foods are gluten-free naturally. What types of foods contain gluten? Gluten is a protein naturally found in wheat (durum, spelt, farro, etc.), rye, barley and combinations of these grains. So foods made from these grains such as pasta, bread, cereals, and others, will contain gluten. It is possible for other grains and foods to have traces of gluten if they are being made or packaged in the same place as the grains that do contain gluten. Should I be concerned about gluten? For most people, the answer is no. For those with celiac disease, an auto-immune disease that causes people not to be able to digest gluten, the answer is yes, because their bodies can not breakdown gluten and it can put them at nutritional risk if they don’t follow a gluten-free diet. Celiac disease is not common – it affects nearly 3 million people in the U.S. and an estimated one in 100 people worldwide. What about other dairy foods? Dairy foods such as milk, most yogurts and most cheeses are naturally gluten-free foods, as are dairy ingredients, such as whey protein. Some dairy-based foods – foods where milk or dairy is not the only component (i.e., certain cheese

spreads, frozen desserts, etc.) — may have flavorings or additives that contain gluten, so it’s important to read the ingredient label.

• Milk is pasteurized to kill bacteria that could potentially cause health risks. Even so, it is not safe to leave pasteurized milk unrefrigerated for an extended time. • Following these simple guidelines can keep your milk as fresh as possible and avoid throwing out spoiled milk.

How much sugar is in milk? There are about 12 grams of natural sugar (lactose) in each 8-ounce glass, which is about the same amount of natural sugar you would find in one small banana.

You must have seen the term “probiotic” on foods and dietary supplements, but have you wondered what these probiotics are or how you might benefit from them? Essentially, a probiotic is a live microorganism (typically bacteria) that has been linked to health benefits when used in adequate amounts. Probiotics can be in foods, like yogurt, infant formulas, medical foods and dietary supplements.

So is the sugar in milk bad for you? No. As part of a well-balanced diet, experts suggest looking at the full nutrient package when making food choices, and avoiding foods with high levels of added sugars but limited nutrient value. Many foods and beverages with naturally occurring sugars like milk or fruit contain vitamins and minerals, protein or fiber we need. Protein is an essential nutrient that your body needs to function properly. It can be found in beef and other meats, fish, poultry, eggs – and yes, milk and dairy foods and ingredients like cheese, yogurt and whey protein. How long can milk sit out? Everyone wants to keep their milk fresh as long as possible, but did you know that how long your milk sits out? In general, perishable foods like milk should not sit out of the refrigerator or cooler for longer than two hours. Cut that time down to an hour in the summer if o the temperature reaches 32.2 C After that time frame, bacteria can start to grow. Here is some information and tips for storing and serving milk at home to keep it fresh as long as possible: • While at the grocery store, pick up milk as last item so it stays as cool as possible. Refrigerate promptly after you get home. • Ideally, milk should be stored in the reo frigerator at 4.4 Rs.C or below. Storing and serving milk at this temperature extends overall shelf-life and maximizes flavour. • Store your milk in the coldest part of the refrigerator, not in the door where it will be exposed to outside air every time someone opens it.

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A core benefit of most probiotics is support for a healthy digestive tract (i.e., gut), which includes creating a more favourable gut environment, which can help with diarrhoea caused by medically prescribed antibiotics. Researching potential benefits of microorganisms is complicated because each class of bacteria -the most common being Lactobacillus and Bifidobacterium - has many subtypes or strains that may differ in their effects. Yogurt can be a probiotic food. The standard bacteria used to make yogurt, Lactobacillus bulgaricus and Streptococcus thermophilus, have been studied for their ability to help people digest lactose, the sugar in milk, which can benefit people with lactose intolerance. There is still much to learn about the potential health benefits of probiotics. They may not work the same for everyone, because each person has a unique metabolic system, eating pattern, combination of microorganisms in their gut and individual health history. Probiotics may be considered safe for some people, but if you have a serious illness, it may be best to check with your doctor before using them. To conclude the tour of dairy farm, let us all thank the ruminants for the nutrition flow from the udders that help the mankind grow and survive on this planet. Courtesy : Images: google.com


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