Amul to pay milk producers through bank

Top Stories

»	Indian rupee gains ahead of RBI deadline to unwind positions
»	Crude oil prices jump up to 4 pc on Hormuz tensions, ceasefire doubts
»	RBI holds repo rate at 5.25 pc, maintains neutral instance amid global uncertainty
»	Sensex, Nifty slide 1 pc as Hormuz deadline by US rattles markets
»	Sensex, Nifty extend rally for 3rd day on hopes of US-Iran de-escalation

SME Times News Bureau | 22 Nov, 2016
Amul Chairman Jethabhai Patel on Monday said that the group will credit payments to its milk producers directly through the bank.

"In view of the demonetisation of currency notes by central government, we have made necessary arrangement to pay milk producer members for their milk price through direct credit in their bank account," Patel said in a statement.

He also said that they were in the process of opening bank accounts for milk producers who do not have these yet.

"We have been stressing for the need to go for cashless transactions for the last couple of years. We have asked all our dairy unions to help farmers open their bank accounts in the next couple of months," said Patel.

Around 60 per cent of the milk producers of Amul have bank accounts.

Gujrat Co-operative Milk Marketing Federation Ltd. (GCMMF) 'Amul' and its 18 associated milk unions are paying around Rs 450 crore on weekly basis to 36 lakhs milk producers through 18,500 milk cooperatives in Gujarat.

Patel also said that due to demonetisation of currency notes and restriction by RBI on District Cooperative Banks, rural milk producers are facing shortage of cash, but there has been no impact on milk procurement and sale of milk in the market.

"In fact, milk procurement of member unions of GCMMF has increased," he said, according to the release.