Tamil Nadu’s milk and dairy development minister attributes increased farmer participation to the ₹44-per-litre procurement price, while Aavin expands its consumer product portfolio in Tiruchirappalli.
Tamil Nadu — Aavin has introduced three new dairy products at its Kottapattu dairy unit in Tiruchirappalli as the state cooperative reportedly sees an increase in milk procurement following a hike in the price paid to dairy farmers.
Milk and Dairy Development Minister C. Vijayalakshmi launched the products on Thursday, announcing 500 ml full-cream milk priced at ₹30, 50 g cup curd at ₹5 and candy ice cream at ₹15.
Speaking to reporters, the minister said more dairy farmers were choosing to supply milk to Aavin following the government’s decision to increase the procurement price to ₹44 per litre. She added that daily milk procurement had increased and that the government was taking steps to expand Aavin’s milk production further.
Three New Products Target Consumer Demand
The newly launched products broaden Aavin’s offerings across liquid milk, fermented dairy and frozen desserts.
| Product | Pack size | Launch price |
|---|---|---|
| Aavin full-cream milk | 500 ml | ₹30 |
| Aavin cup curd | 50 g | ₹5 |
| Aavin candy ice cream | Not specified | ₹15 |
The price points cover different consumption occasions, from household milk purchases to small, single-serve curd packs and affordable frozen treats.
For dairy cooperatives, expanding the range of consumer products can help diversify revenue streams and increase the use of milk across multiple product categories. Commercial performance will depend on consumer acceptance, product availability, distribution and production costs.
Trichy Union Procures Two Lakh Litres Daily
The Tiruchirappalli District Cooperative Milk Producers’ Union currently procures an average of two lakh litres of milk per day, according to the figures provided in the report.
The union sources milk from 19,769 producers organised through 341 primary milk producers’ cooperative societies.
This network connects local dairy farmers with the organised milk supply chain, providing a structured channel for milk collection and marketing.
The minister also handed over selection-grade promotion orders to 10 employees of the district cooperative milk producers’ union at a function held at Union Hall.
Focus on Milk Quality and Transparent Payments
During her visit, Vijayalakshmi inspected the TRD 545 Rettimangudi Milk Producers Cooperative Society and held discussions with milk producers.
She reviewed the practice of issuing quality-based milk procurement acknowledgement slips and the associated payment system.
Quality-based procurement systems are important in cooperative dairying because milk payments may be linked to measured fat and solids-not-fat (SNF) content, depending on the applicable procurement policy. Recording milk quantity and quality can improve transparency, help producers verify payments and support accountability at collection centres.
Accurate testing, calibrated equipment and clear payment records are essential to ensuring that farmers understand how the price of their milk is determined.
Procurement Prices and Farmer Participation
The reported increase in milk procurement following the ₹44-per-litre price revision highlights the role that procurement rates can play in farmers’ decisions about where to sell their milk.
However, the extent to which the price increase has contributed to higher procurement would require comparative data on daily collection volumes before and after the revision. Milk availability can also vary with season, feed costs, animal productivity and competing buyers’ prices.
For Aavin, maintaining reliable milk collection while expanding its consumer portfolio will be important to balancing farmer procurement, processing capacity and market demand.
Outlook for Aavin
The latest product launches combine consumer-facing expansion with continued attention to the cooperative’s milk collection network. The Tiruchirappalli union’s reported daily procurement of two lakh litres illustrates the scale of its local sourcing operations.
Going forward, sustained growth will depend on maintaining farmer participation, ensuring transparent quality-based payments, improving processing and distribution efficiency, and developing products that meet consumer demand.
Also Read: Delhi High Court Seeks FSSAI Response on PIL Against Misrepresentation of Non-Dairy Analogue Paneer
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