Dairy Processing centres and development in Bihar

Department of Animal Husbandry & Dairying (DAHD), Government of India is implementing the National Programme for Dairy Development (NPDD) scheme across the country to complement and supplement the efforts for milk processing infrastructure made by the State Government. NPDD scheme is being implemented with following 2 components:

1. Component ''A'' of NPDD focuses on creating/strengthening of infrastructure for quality milk testing equipment as well as primary chilling facilities for State Cooperative Dairy Federations/ District Cooperative Milk Producers’ Union/ Self Help Groups (SHGs)/ Milk Producer Companies/ Farmer Producer Organizations.

1. Component ''B'' of the NPDD scheme "Dairying through Cooperatives” aims to increase sale of milk and dairy products by increasing farmer’s access to organized market, upgrading dairy processing facilities and marketing infrastructure and enhancing the capacity of producer owned institutions.

State Government of Bihar has not submitted any project for setting up of milk processing units in Koshi-Seemanchal under NPDD scheme. However, in view of the dairy potential of the Koshi-Seemanchal region, State Government of Bihar has informed the following status/ steps taken for strengthening milk processing/ organized dairy sector in the region: -

1. A milk chilling plant of 0.50 lakh liters/day (LLPD) capacity has been sanctioned for Madhepura district during the Pragati Yatra, 2025, of the Hon’ble Chief Minister of Bihar.
2. Expansion of processing capacity from 1 LLPD to 2 LLPD has been sanctioned under the Aspirational District Scheme for Khagaria district, covered under Deshratna Dr. Rajendra Prasad Milk Union (DRMU), Barauni.
3. Purnea district falls under the Kosi Dairy Project (KDP) of COMFED, Patna, with a procurement of 0.74 LLPD and an installed processing capacity of 2.00 LLPD.
4. Saharsa, Supaul, and Madhepura districts are served by the Kosi Milk Union (KMU), Supaul, which has a processing plant with a capacity of 2.00 LLPD with milk procurement of about 1.00 LLPD in 2024–25.

The details of location and capacity of milk processing centres in Bihar is at Annexure-I.

The details of schemes of Department of Animal Husbandry and Dairying (DAHD) and State Government in Bihar to increase milk production and increase the income of farmers is as under:

1. DAHD is implementing the following schemes across the country to complement and supplement the efforts for milk production and milk processing infrastructure made by the State Government

1. Rashtriya Gokul Mission (RGM): RGM is implemented for development and conservation of indigenous breeds, genetic upgradation of bovine population and enhancement of milk production and productivity of bovines.
2. National Programme for Dairy Development (NPDD): NPDD is implemented with following 2 components:

1. Component ''A'' of NPDD focuses on creating/strengthening of infrastructure for quality milk testing equipment as well as primary chilling facilities for State Cooperative Dairy Federations/ District Cooperative Milk Producers’ Union/ Self Help Groups (SHGs)/ Milk Producer Companies/ Farmer Producer Organizations.
2. Component ''B'' of the NPDD scheme "Dairying through Cooperatives” aims to increase sale of milk and dairy products by increasing farmer’s access to organized market, upgrading dairy processing facilities and marketing infrastructure and enhancing the capacity of producer owned institutions.

1. Supporting Dairy Cooperatives & Farmer Producer Organisations engaged in dairy activities (SDCFPO): To assist the State Dairy Cooperative Federations by providing interest subvention (regular 2% and additional 2% on prompt repayment) with respect to soft working capital loan to tide over the crisis on account severely adverse market conditions or natural calamities.
2. Animal Husbandry Infrastructure Development Fund (AHIDF): AHIDF provides interest subvention at the rate 3% per annum for creation/ strengthening of livestock product processing and diversification infrastructure thereby providing greater access for unorganized producer members to organized market.
3. National Livestock Mission (NLM): to bring sharp focus on entrepreneurship development and breed improvement in poultry, sheep, goat, piggery and fodder by providing the incentivization to the individual, FPOs, SHGs, Section 8 companies for entrepreneurship development and also to the State Government for breed improvement infrastructure
4. Livestock Health and Disease Control Programme (LHDCP): to provide for prophylactic vaccination against animal diseases, capacity building of veterinary services, disease surveillance, and strengthening veterinary infrastructure. Also, a new component of Pashu Aushadhi is added under the scheme ensure availability of affordable generic veterinary medicine across the country through Pradhan Mantri Kisan Samriddhi Kendras (PM-KSK) and Cooperative Societies. This will create an ecosystem for Generic Medicine which will be affordable and of good quality.

These schemes are helping in improving milk productivity of bovines, expanding network of dairy cooperatives, strengthening of dairy infrastructure, working capital requirement, enhancing availability of feed and fodder and providing animal health services. These interventions help to reduce the cost of milk production and also help to enhance income of milk producer from dairy farming.

1. Schemes of Government of Bihar:

1. Saat Nishchay-2 Yojna:- Expansion of dairy infrastructure to promote rural self-reliance. As part of this initiative, the state aims to organize 7,000 new Dairy Cooperative Societies between 2021 and 2025.
2. Desi Gaupalan Protsahan Yojana – Promotes indigenous cow breeds with subsidies up to 75% for SC/ST/EBC beneficiaries.
3. Samagra Bhains Palan Yojana – Offers ₹1.21–1.81 lakh support for purchasing high-yielding buffaloes like Murrah and Bhadawari.
4.  Samagra Gavy Vikas Yojana – Supports dairy units with 2–20 animals; subsidy ranges from 40% to 75% based on unit size and category.

Annexure-I

Details of location and capacity of milk processing centres in Bihar is as under:

S No.	Location	Total Processing Capacity (Thousand Litres Per Day)
1	Patna	275
2	Muzaffarpur	290
3	Barauni	500
4	Gaya	100
5	Arrah	300
6	Samastipur	835
7	Bhagalpur	200
8	Purnia	200
9	Kaimur	50
10	Gopalganj	10
11	Darbhanga	70
12	Biharsharif	400
13	Hajipur	10
14	Jamui	10
15	Dehri-on-Sone	500
16	Khagaria	100
17	Motihari	10
18	Kishanganj	5
19	Supaul	200
20	Sitamarhi	400
	Total	4855

This information was given by Union Minister of State, Ministry of Fisheries, Animal Husbandry and Dairying, Prof. S.P. Singh Baghel, in a written reply in Lok Sabha on 29th July, 2025.

Source : Dairynews7x7 July 30th 2025 PIB