Need to establish 5-6 more cooperatives like Amul: PM Modi

Milk production is providing highest returns to farmers, said Modi.

New Delhi: Prime Minister Narendra Modi on Saturday called for the establishment of 5 to 6 more large cooperatives like Amul with a national presence.

“Currently, milk production is providing the highest returns to farmers. We need to work towards creating 5-6 more cooperatives like Amul, which have a presence across the country,” Modi said while addressing the inaugural session of Grameen Bharat Mahotsav in the national capital.

Amul is one of the most popular food and dairy brands globally. It is owned by Gujarat Co-operative Milk Marketing Federation Ltd (GCMMF). It works as a three-tiered structure with the dairy cooperative societies at the village level federated under a milk union at the district level and a federation of member unions at the state level.

The group turnover of brand Amul reached Rs 80,000 crore during the financial year 2023-24. Headquartered in Anand, Gujarat, Amul has a pan-India presence.

The Prime Minister also called for the establishment of more Farmer Producer Organizations (FPOs). “With the establishment of FPOs, our farmers are now getting better prices for their crops. We should think about creating more FPOs and move forward in that direction,” he said.

According to the Prime Minister, around 25 crore people have been lifted out of poverty in the past 10 years, with the majority being from rural areas, as a result poverty rate in rural India has fallen below 5% from around 26 per cent recorded in 2012.

Modi also underlined the change in consumption pattern in rural India. “Earlier, the situation was such that villagers had to spend more than 50% of their income on food and basic necessities,” he said.

“For the first time since independence, the expenditure on food in rural areas has fallen below 50 per cent, and spending on other essential items has increased. This indicates that people are now buying things for their comfort, desires, and needs, investing more in improving their quality of life,” he added.

Organised by the Department of Financial Services (DFS) and the National Bank for Agriculture and Rural Development (NABARD), the week-long Grameen Bharat Mahotsav event is themed as 'Building a Resilient Rural India for a Viksit Bharat 2047’.

Speaking at the event Union Finance Minister Nirmala Sitharaman said the government would run a saturation drive for 16 schemes, including Pradhan Mantri Jan Dhan Yojana, MUDRA Yojana, PM Awas Yojana, and SVAnidhi Yojana.

“Taking the momentum further, the Grameen Bharat Mahotsav showcases India's rich cultural heritage as well as the aspirations of rural people and development in the four areas —GI Tags, natural farming, women empowerment, tribal welfare, with a focus on North East products,” Sitharaman said.