Tamil Nadu has focused on improving the performance of milk Co-operatives by adopting a systematic approach and proper strategy in milk co-operatives. Significant achievement has been made by Milk Producers’ Cooperative Societies, Unions and Federation in the State.
The commercial activities such as milk procurement, processing, chilling, packing and sale of milk to the consumers etc., hitherto dealt with by the Tamilnadu Dairy Development Corporation Ltd., were transferred to the newly registered Tamilnadu Co-operative Milk Producers’ Federation Limited, popularly known as “Aavin”.
Now Aavin, is emerging as a leading cooperative set-up in the State. It had under its purview as many as 600 milk suppliers’ cooperative societies. The federation was procuring 1.59 lakh litres of milk every day, of which one lakh litres were sent to Chennai, 50,000 litres set aside for local consumption and the remaining converted into milk powder.
Payment of about Rs. 2.5 crore to Rs. 3 crore was being made to milk suppliers every week and only few days’ arrears were pending.