PATNA: Bihar’s dairy cooperatives have emerged among the better-performing dairy cooperative systems in the country in implementing Direct Benefit Transfer (DBT) for milk procurement payments and meeting targets under the Dairy Through Cooperatives (DTC-JICA) project, according to Dairy, Fisheries and Animal Resources Department Secretary Shirshat Kapil Ashok.
Speaking at a regional workshop in Kolkata on cooperative-led dairy development in eastern India, Ashok highlighted transparency, trust and direct farmer payments as important foundations for sustainable growth of the dairy cooperative sector.
Direct payment to farmers strengthens transparency
According to the official, Comfed and its affiliated milk unions are directly transferring milk procurement payments into beneficiaries’ bank accounts through the DBT system.
The mechanism reduces dependence on intermediaries and provides farmers with a transparent record of their milk payments.
For a smallholder-dominated dairy sector such as Bihar’s, direct and timely payment can be particularly important in strengthening farmers’ confidence in organised milk procurement.
Bihar performs strongly under DTC-JICA
Ashok said a review of Phase-I of the DTC-JICA project found Bihar’s milk unions among the leading performers nationally in achieving targets related to:
- milk procurement;
- milk marketing;
- processing infrastructure; and
- cooperative-led dairy development.
The state’s dairy cooperatives were also recognised for progress in improving animal productivity, an important factor in increasing milk availability and strengthening farmer incomes.
Focus on cooperative-led dairy development
The workshop was organised under the Centre’s National Dairy Development Programme as part of the Japan International Cooperation Agency (JICA)-supported Dairy Through Cooperatives project.
The programme brought together stakeholders from across eastern India to discuss ways to strengthen cooperative-based dairy development, improve infrastructure and expand benefits reaching milk producers.
Senior officials from dairy federations and milk unions in Bihar, West Bengal, Jharkhand, Odisha and Chhattisgarh participated in the workshop.
Why it matters for Bihar’s dairy sector
Bihar has a large base of small and marginal dairy producers. Strengthening the cooperative system through digital payments, better procurement infrastructure, improved animal productivity and stronger processing and marketing networks can help convert milk production into more stable rural income.
The emphasis on DBT also reflects a broader shift in India’s dairy sector towards transparent, technology-enabled procurement systems, where farmers can directly track the value of the milk they supply.
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