C H A P T E R -I

INTRODUCTION

In the In d ia n economy# mere dependence on a g r i ­

c u l t u r a l o p e r a t io n s does n ot seem to a d e q u a te ly a s s i s t

th e fa rm e r in s t re n g th e n in g h i s a c t i v i t y and in a lle ­

v i a t i n g h i s econom ic s t a t u s , by way o f an in c r e a s e i n

the s ta n d a rd o f l i v i n g o r p e r c a p i t a incom e, o r b y way

o f h is p a r t ic ip a t io n and i n t e r a c t i o n w it h th e o t h e r

econom ic a c t i v i t i e s , o r b y way o f h is a p p r e c ia t io n

and u n d e rs ta n d in g o f the e f f o r t s o f econom ic p la n n in g

^ as t o f u l l y and more m e a n in g fu lly c o o p e ra t e w ith the

re q u ire m e n ts o f the s o c ie t y and th e G overnm ent,^ The

re a s o n s f o r the age o l d in a d e q u a c ie s and u n c e rta in 4 :ie s

w hich have c o n s t r a in e d and li m i t e d the scope o f a g r i ­

c u lt u r e to a somewhat s u b s is t e n c e a f f a i r may be fou n d

i n th e numerous k in d s o f la n d , t e rra in , e x p lo r e d and

u n e x p lo re d a s p e c t s o f i r r i g a t i o n , the depajndence on

the v a g a r i e s o f mansoon, u n r e l i a b l e a g ric u ltu ra l

1 •R e p o rt on the N a t io n a l Commission on A g r i c u l t u r e ,
Government o f I n d i a , 1976, p p . 171 -1 7 5.

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p r ic e s # su p p ly and demand i n r e s p e c t o f commodi-ties*

g e n e r a lly d e c li n i n g and a d v e rse term s o f t r a d e f o r

the fa rm e r i n r e l a t i o n to h i s g o o d s , and a l l o t h e r

ite m s , produced and d is triiD u te d in th e urt>an a r e a s

in c lu d in g the wage g o o d s . A ls o # the s i t u a t i o n o f

ten an cy and o w n e rsh ip and th e n a tu re o f d i s t r i b u t i o n

o f la n d and i t s s e ttle m e n ts have a l l been n o t o n ly

s a t i s f a c t o r y , b u t t h e r e seems t o be much t o b e d e­

s i r e d 'i n t h e s e m atters# so as t o e n s u re the norm al

l e v e l s o f p r o d u c t io n , as w e l l a s e n co u ra g e m a r g in a l

in c r e a s e s in p r o d u c t io n . T h ere a re a ls o in n u m e ra b le

problem s which rem ain to be t a c k le d i n r e s p e c t o f a

number o f in p u t s such as c a p i t a l# fe r t iliz e r # p e s ti­

c id e s# d is t r ib u t io n o f c a t t le and in p u t s r e l a t i n g to

c a t t l e , a g r i c u l t u r a l in fo r m a tio n o f s e v e r a l k in d s

f o r m o tiv a tin g and o r i e n t i n g the farm# u n d e r the

a u s p ic e s o f the Government a t v a r i o u s l e v e l s and

a g e n c ie s such as the n a t i o n a li s e d banks# th e n a t io n a ­

l i s e d bank f o r A g r i c u l t u r a l D evelopm ent an d the

N a t io n a l Commission on A g r i c u l t u r e . P roblem s o f

wages# wage d i f f e r e n t i a l s , the number o f b o u rse o f

work o f the wage e a rn e rs a re however# p ro b lem s o f a

s e p a r a te c a t e g o r y * Thus m o d ern isin g I n d ia n a g r i c u l t u r e

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p r e s e n t s m u ltitu d in o u s and m u lt id im e n t io n a l i s s u e s .

The I n d ia n fa rm e r d o es n o t c o n fin e t o th e

p la in s a lo n e . T h ere a re w id e v a r i e t y o f t r i b a l p o p u -
2
la t io n s who have a s s o c i a t e d w it h s e v e r a l ite m s o f

a g r i c u l t u r a l produce^ and s e v e r a l o t h e r ite m s o f m inor

f o r e s t produce and whose i n t e r a c t i o n has an im p o rta n t

iDearing on the fa rm e rs i n g e n e r a l# and whose i n t e r ­

a c t io n has v e r y s u b t l e , b u t s u re i m p li c a t i o n s o f i n ­

p u t -o u t p u t r e l a t i o n s f o r th e e n t i r e economy o f a r e ­

gion# or a d is tric t. The t r i b a l economy c o n s t i t u t e s

an im p o rta n t segment o f the economy lo o k e d a t from

the p o in t o f v ie w o f th e much d e s i r e d i n t e g r a t i o n , and

o p t im is a t io n o f a c t i v i t i e s , and b r i n g in to our f o ld , a

much n e g le c t e d b^-tan im p o rta n t, and a one tim e most

c o lc G irfu l s e c t io n o f In d ia n p o p u la t io n . The t r i b a l

economy b a d ly r e q u i r e s the unanimous a t t e n t i o n o f the

p la n n e r , if s o c i a l t e n s io n s and i n t e r n a l d i s s e n s i o n s

have to be a v o id e d , c-jid i f the enormous in v e stm e n ts

w hich a re flo w in g in t o v a r i o u s c h an n e ls o f th e s o c ie t y *

p a r tic u la rly a g ric u ltu re , i n the name o f economic

2. ( i) L * P .V i d y a r t n i , T riiD al C u lt u r e o f In d ia , 1977,
(ii) M .J .H e r s o k o v it s , Kconomic A n th ro p o lo g y , 1952.

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p l a n n i n g h ave t o fin d ju s tific a tio n . The t r i b a l economy

h as t o be l o o k e d a t w i t h an i n t e n t p u r p o s e o f m o t i v a ­

tio n so a s t o b r i n g th e t r i b a l in to t h e fra m e w o rk o f

t h e modern econom y. T h i s may h ave t o b e done n o t w i t h

a p r e m a tu re s e n s e o f fu tility # b u t w ith a z e a l th at

m ig h t c u l m i n a t e i n t o a s e n se o f r e a l i t y , so t h a t any

d iscou ra g em en t i n th e i n i t i a l stages in im p le m e n tin g

t h e programmes meant f o r a g ric u ltu re , and t h e t r i b a l #

are o b v ia t e d a f t e r d is c o v e r in g th e fa u lts , weaknesses

and th e lim ita tio n s of th e p rogram m es. T h i s means t h a t

t h e programmes and t h e a d m i n i s t r a t i o n o f t h e programm es

have to c o n ta in c o n t in u it y , fle x ib ility , and e c o n o m ic

v ia b ility so as t o g r a s p t h e i n t r i c a c i e s o f th e t r i b a l

econom y, w h ic h r e q u i r e to be lo o k e d a t fr o m t h e p o i n t

o f v ie w o f the t r i b a l # r a t h e r t h a n fr o m t h e p o i n t o f

v ie w o f the r e s t o f th e s o c ie ty . Once t h e s e p r o b le m s

a r e lo o k e d a t t h e p o i n t o f the t r i b a l s , t h e y w o u ld

a u to m a tic a lly fin d a p la c e in th e fra m e w o r k s o f d e v e ­

lo p m e n t i n t e n d e d f o r the e n t i r e s o c ie ty ; o th e rw is e , they

w o u ld b e p a r t i a l , in a d eq u a te, a n d w o u ld b e lo s t in th e

n orm al p l a n n i n g e x e r c i s e s fo r la c k o f c la rity . Is s u e s

such as i n t e g r a t i n g the t r i b a l economy d i d n o t f i n d

th e sen se o f u r g e n c y w h i l e t a c k l i n g b i g g e r p r o b le m s

o f macro p r o p o r t i o n s .

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 A t the same time# i t sh o u ld b e p o in t e d o u t

t h a t th e t r i b a l economy as such has not been known

s u ffic ie n t ly f«r e it h e r i t s c o n t r i b u t io n to a g r i c u l ­

tu ra l a c tiv it ie s and s e m i - a g r i c u l t u r a l a c t i v i t i e s #

as i t s in vo lv em en t has b een m eagre i n th e s e s o c i o ­

econom ic m a tt e rs ; b u t the p o t e n t i a l f o r such t h in g s

can n o t be ig n o r e d . Thus, the clam our f o r p r o g r e s s and

th e u rg e o f th e t r i b a l f o r b e t t e r a t t e n t io n cann ot

be o v e r r u le d ,^

The r o l e o f d a i r y in g i n s t r e n g t h e n in g th e t r i ­

b a l economy r e l a t e s t o o n ly the r e c e n t p a s t . However

much had the t r i b a l been a s s o c ia t e d i n the p a s t w it h

the c a t t l e , the seems to have ig n o r e d the econom ic

im portan ce o f th e c a t t l e . At p resen t, if th e t r i b a l

economy h as to a c q u it i t s e l f as a s e c t io n o f the

s o c i e t y which can o r g a n is e a d e g re e o f c a p i t a l f o r ­

m ation by way o f h ou seh old s a v in g s , income g e n e r a t io n ,

in v o lv e m e n t i n employment, in v o lv e m e n t in p r o d u c t io n

and d i s t r i b u t i o n and in v e stm e n t, the t r i b a l economy

h as t o g e t th e k in d o f s u p p o r t and a s s i s t a n c e th at

3 . R e p o rt o f the iitudy Team on T r i b a l D evelopm ent

Programme, P la n n in g Commission# Governm ent o f
In d ia # 1969.

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th e In d ia n farm er had the fo r t u n e o f g e t t i n g a t the

tim e o f the r u r a l r e c o n s t r u c t io n t h a t was e n v is a g e d

im m ed iately a f t e r I n d i a a c h ie v e d In d ep en d en ce. The

r o l e o f d a ir y in g i n im provin g the l e v e l s o f income

o f the r u r a l p o o r h as b een w e l l e s t a b l i s h e d in

In d ia , and d a i r y in g o f the t r i b a l h as to a c h ie v e

such a s i g n i f i c a n t l e v e l o f a c tiv it y if it has to

a s s i s t and s u b s i s t h i s g e n e r a l l y in a d e q u a te and

s l u g g is h in v o lv e m en t in the economy around h im sel-f,

p a r tic u la rly so, when the chances o f employment o f

th e t r i b a l have been so few a t th e p r e s e n t l e v e l s o f

h i s ed u cation # a w a re n e ss, u n d e rsta n d in g# and s k i l l s ,

w h ich a r e a l l as p r i m it iv e a s e v e r . Numerous e f f o r t s

w ere made f o r a s s i s t i n g the t r i b a l i n r e o r g a n is i n g

h i s way o f l i f e , and f o r augm enting m ilk p ro d u c tio n ^

procurem ent^ m ark etin g and p r o c e s s in g o f m ilk on an

i n t e g r a t e d b a s i s w orth the s c a le t h a t i s c o n c e iv e d

b y the p la n n e r s , w ith o u t w hich the o p e r a t io n s w ould

be fu t ile ju d g e d on the b a s i s o f s t r i c t a c c o u n tin g

and economic c a l c u l a t i o n s . As a r e s u l t , d a i r y in g

h as become one o f the most im p o rta n t schemes i n

v a r i o u s developm ent programmes, lik e th e S m all

Farm ers Developm ent Agency, the D rau gh t Prone A re a

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Developm ent Programmes and the I n t e g r a t e d T r i b a l

Developm ent Programmes. The e x p e r ie n c e o f th e se

o r g a n i s a t i o n s has been t h a t t h e r e a re immense p o s s i ­

b ilit ie s o f u s in g d a i r y i n g as an in s tru m e n t to b r i n g

s o c i a l and econom ic changes i n the r u r a l and t r i b a l

areas, p r o v id e d the schemes a re fo rm u la te d ap p ro ­

p r ia t e ly and f o llo w e d up c o n s i s t a n t l y . A l l the f i v e

y e a r p la n s have so f a r o u t l i n e s th is argum ent and

a n a ly s e d the g e n e r a l d e f i c i e n c i e s i n the programmes

p la n n e d p a r t i c u l a r l y f o r th e t r i b a l a r e a s , w it h th e

r e s u l t th e re seems to b e c o n s i d e r a b le scope to r e -

c h a n n a lis e th e a c t i v i t y o f the t r i b a l and the c o n -

%
c e p t io n o f the problem a t th e helra o f a f f a i r s . The

N a t io n a l Commission on A g r i c u lt u r e fo c u s s e s p a r t i c u ­

la r a t t e n t io n on t h i s s u b je c t and s u g g e s te d t h a t

d a i r y in g h as to be d e v e lo p e d a s an im p o rta n t econo­

mic o c c u p a tio n o f the s m a ll fa rm e r , t r ib a l o r oth er­

w is e , p a r tic u la rly i n the c o n t e s t o f the la n d l e s s

a g r i c u l t u r a l la b o u r and b r i n g ab ou t the a c t i v i t y

o f d a i r y i n g o f th e t r i b a l as an im p o rta n t a d ju n c t

to d a i r y in g in g e n e r a l .

The su c c e ss o f the D a ir y Developm ent Programmes

and t h e i r a b i l i t y to in f lu e n c e so c io -e c o n o ra ic changes

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i n r u r a l areafe# c o n s id e r in g the t r i b a l a r e a a s p a r t

o f the l a r g e r r u r a l economy# depends on a number o f

fa c to rs . These f a c t o r s in c lu d e the econom ic v i a ­

b ilit y o f the programmes# o r g a n i s a t i o n a l e f f i c i e n c y ,

the a t t i t u d e s o f th e fa rm e rs to w a rd s im proved d a i r y ­

in g p r a c t i c e s and the a s s is t a n c e p r o v id e d t o the

t r i b a l economy in the form o f ro a d s and communica­

tio n s # r u r a l h e a lt h c e n tre s # v e t e r i n a r y and m e d ic a l

a s s is ta n c e . Minimum h o u sin g f a c i l i t i e s and programmes

o f lit e r a c y
a rra n g e d i n th e form o f a package o f i n -
4
f rastru ctu re.

It i s i n t h i s fram ework t h a t we have tak en up

th e study f o r a n a ly s in g the t r i b a l economy w ith r e f e ­

re n c e to the programmes su p p o rte d by th e v a r i o u s agen­

c i e s in the p a s t d ecade in the V isakhapatnam and

S rik a k u la m d i s t r i c t s # and the im pact o f th e se programmes

on the developm ent o f d a i r y in g as such# and the im pact

4 • F o r a study o f the im portan ce o f d e v e lo p in g the t r i ­

b a l areas# bee# the p a p e rs o f the SSRD# Second A l l
I n d ia C on feren ce on T r i b a l A re a D e v elo p m e n t,O c to b er
10-11# 1981, o r g a n is e d by th e S o c ie t y f o r the stu d y
o f R e g io n a l D i s p a r i t i e s . A lso # f o r an a n a l y s i s o f
th e T r i b a l Economy i n Andhra Pradesh# See ORK Murthy#
T r i b a l Economy i n Andhra p ra d e sh . U n p u b lish e d T h e s is ,
su bm itted to Andhra U n iv e r s it y # 1965.

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o f d a i r y in g on the s o c i a l and econom ic l i f e o f the

t r i b a l p o p u la tio n ^ and th e la c u n a e i n the programmes

t h a t w ere o r g a n is e d , and the p o l i c y i m p li c a t i o n s f o r

fu t u r e p la n n in g , w it h an o v e rv ie w o f th e p roblem o f

d a i r y in g in g e n e r a l . We now d e s c r ib e th e s p e c i f i c

im portan ce o f the problem i n the two r e g io n s u n d er

o u r c o n s id e r a t io n w hich r e p r e s e n t the s u b s t a n t i a l

chunk o f t r i b a l l o c a t i o n , p o p u la t io n and a c t i v i t y ;

th e m ethodology t h a t we have adopted f o r c o l l e c t i n g

th e in fo r r s a t io n , and f o r a n a l y s i n g the c o n te n t o f

th e d a t a ; and the scope o f the s t u d y , w it h an o v e r ­

v ie w o f the problem o f d a i r y i n g a s su ch , i n the

fir s t in s t a n c e .

1 .1 A Note on D a ir y D evelopm ent A c t i v i t i e s ;

Anong a l l o t h e r l i v e s t o c k a c tiv it ie s , d a iry ­

in g i s one o f the im p o rta n t s t ib s id ia r y o c c u p a tio n s

i n r u r a l I n d i a where a g r i c u l t u r e is the m a jo r occu­

p a t io n o f 80 p e r c e n t o f r u r a l m a sse s. The p r e ­

h i s t o r i c man s t a r t e d d o m e s tic a t in g th e anim al and

u s in g them as r e s e r v e fo o d i n c a se o f e v e n t u a l i t i e s

l i k e d ro u g h t and fa m in e s . A s the nomadic l i f e g ra ­

d u a ll y s t a r t e d s e t t l i n g down i n the r i v e r b e d s , and

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fin a lly sw itc h e d o v e r to a g r i c u l t u r a l p r a c t i c e s so

to produce fo o d , the a n im a ls w ere made use o f f o r

a g r i c u l t u r a l p r a c t i c e s a p a r t from u s in g them as

fo o d i t s e l f * In In d ia , cow i s c o n s id e re d a s a c re d

anim al and th e c o w 's m ilk i s used as a s u b s t it u t e

to b r e a s t m ilk t o n u rse c h i l d r e n . Hence th e con­

sum ption o f m ilk and m ilk p rod u cts^ meat o f the

anim als# u se o f the c a t t l e fo r v a rio u s o th e r o p e ra ­

t io n s , has s e t i n , w it h the changes i n the s o c io ­

econom ic l i f e , and w ith the im pact o f c i v i l i z a t i o n .

A ll the anim al fo o d s l i k e m eat, e g g s and

m ilk a re c o n s id e re d t o b e h ig h ly n u t r i t i v e and a r e

e a s i l y d i g e s t i b l e by human b e in g s . M ilk i t s e l f p la y s

a v e ry v i t a l r o l e i n the In d ia n s o c i e t y , as the most

im p o rta n t a l t e r n a t i v e so u rce o f anim al p r o t e in in

the d i e t o f the v e g e t a r i a n .

L a rg e s c a le m ark etin g o f m ilk has been the

phenomenon o f the t w e n t ie t h c e n t u ry . W h atever amount

o f m ilk was p rod u ced , i t was consumed l o c a l l y . W ith

the grow th o f u r b a n iz a t io n and i n d u s t r i a l i z a t i o n , the

su p p ly o f m ilk to the m asses had f a l l e n on the s h o u l­

d e r s o f the r u r a l m asses. P r i o r to th e adven t o f

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d a ir y developm ent programmes i . e . , m ilk p r o c e s s in g

u n its# the su p p ly o f m ilk in u rb a n a r e a s was done

by the p r i v a t e vendors# b y u s in g v a r i o u s methods o f

t r a n s p o r t and p r o c u rin g the m ilk i n the v i l l a g e s and

s e llin g it in towns and the c i t i e s * In the r e c e n t

p ast, how ever, a ll tb e modern Governm ents o f th e

w o r ld have tak en up t h i s programme and o r g a n is e d th e

procurem ent o f m ilk# its p r o c e s s in g and d i s t r i b u t i o n

on a s c i e n t i f i c lin e s .

M ilk i s not o n ly a v a l u a b l e commodity, it is

a ls o q u ic k ly p e r i s h a b l e . B e fo r e th e adven t o f the

method o f p a s t e u r i s a t i o n , t h e r e was h a r d ly any f o o l

p r o o f method f o r s t o r a g e and t r a n s p o r t a t i o n o f f l u i d

m ilk . S u r p lu s m ilk was b e in g p r e s e r v e d i n the form

o f b y -p r o d u c t s l i k e Y o g u rt (C u r d s ), Chenna, C heese,

b u t t e r and g h ee , p a r t i c u l a r l y fo r a sh o rte r d u ra tio n s .

Now procurem ent o f m ilk , in p r o c e s s in g and d i s t r i b u ­

t io n , i n the f l u i d form to u rban d w e l le r s i s b e in g

taken up by a l l the s t a t e s in the c o u n try u n d e r the

p u b l i c and p r i v a t e se c to rs.

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Procurem ent o f M ilk ;

Procurem ent^ i s th e b a s i c s t e p in t h e m ark etin g

o f m ilk . TO p ro c u re the m ilk in r u r a l a r e a s m ilk c o l ­

le c t io n c e n t r e s have to be e s t a b l i s h e d . The number o f

m ilk c o l l e c t i o n c e n t r e s lo c a t e d depends upon the s u r ­

p lu s m ilk t h a t i s a v a ila b le in th e v i l l a g e s . And,

w here la r g e q u a n t i t i e s o f s u r p lu s railk a v a i l a b l e # a

m ilk c o l l e c t i o n c e n tre f o r the e n t i r e v i l l a g e w i l l be

o rg a n is e d . A t p re se n t# a l l the m ilk c o l l e c t i o n c e n t r e s

a re b e in g run on a com m ission system . A com m ission o f

th r e e p a is e i s b e in g p a id p e r l i t r e f o r the com m ission

a g e n t . At the time o f procu rem en t, p r o d u c e r -w is e m ilk

sam ples o f 30 m l. q u a n t i t i e s w i l l be c o l l e c t e d and f a t

t e s t s w i l l be don e. A f t e r c o m p le tin g the c o l l e c t i o n

o f m ilk from a l l the p r o d u c e r s , the f a t t e s t w i l l be

done to the i n d i v i d u a l p ro d u c e r and th e acco u n ts are

m a in ta in e d , i n the r e g i s t e r s , and in the p r o d u c e r 's

p a s s e bo o k , t h a t i s b e in g m a in ta in e d b y the in d iv i­

d u al prod u cer. A f t e r c o m p le tio n o f th e procurem ent#

5 . t>ee the R e p o rt on the Study o f F a c t o r s R e s p o n s i­

b l e f o r In c re a s e d M ilk Procurem ent b y Government
D a i r i e s in Andhra p ra d e sh i n 1974-75, A g ro -E c o n o -
mic R esearch C e n tre , A n dhra U n i v e r s i t y , 1977.

Andhra University, Visakhapatnam

i.e ., c o l l e c t i o n o f the m ilk from a l l th e p ro d u c e rs#

the m ilk w i l l be p o o le d in a can w h ich i s known as

b u lk m ilk , and th© b u lk f a t p e rc e n ta g e i s a g a in r e ­

cord ed and s e n t to the p r o c e s s in g p la n t/ a f t e r reco rd ­

in g the d e t a i l s o f f a t p e rc e n ta g e and the name o f the

c e n t r e s on the t a g o f the s e a le d c a n . If th e p r o c u r e ­

ment c e n t r e i s n e a r e r to the m a jo r p l a n t i . e . , p ro cess­

in g and d i s t r i b u t i o n p la n t , i t w i l l be s t r a i g h t - a w a y

se n t to the p l a n t . If the p r o c e s s in g and d i s t r i b u t i o n

i s more than 50 kms. away, from the m illt c o lle c t io n

c e n tre th e re i s e v e ry need f o r e s t a o l i s h i n g a m ilk

c h illin g c e n tre to a l l such n earby v i l l a g e s w here the

m ilk i s c o o le d and s t o r e d f o r two o r t h r e e d a y s , and

se n t to the m a jo r p la n t p e r i o d i c a l l y . The V is a k h a

D a ir y o f Visakhapatnam i s h a v in g s u p p o r tin g c h i l l i n g

cen tres a t (i) N arasip atn am , (ii) C h i n t a p a l le ,

(iii) P ad eru and ( i v ) Araku i n V isakh ap atn am d i s t r i c t *

i n Ramabhadrapuram i n V iz ia n a g a ra ra d i s t r i c t , i n B h a d ra -

g ir i and beetham peta in fcirikakulam d i s t r i c t *

M ilk Procurem ent in V isakhapatnam D i s t r i c t s

M ilk procurem ent i n V iz a g d i s t r i c t c o v e r s n e a r ly

13 p an ch ayat s a m ith is in c lu d in g a p a r t o f th e t r i b a l

are a . Th ere a re 450 v i l l a g e s th ro u g h 400 c o l l e c t i o n

Andhra University, Visakhapatnam

p o in t s o r c e n t r e s . The peak procurem ent in the d i s ­

tric t touched 60,000 l i t r e s d u r in g f l u s h season d u r ­

in g th e y e a r 1982-83. The t o t a l m ilk c o l l e c t i o n

c e n t r e s i n th e d i s t r i c t i s b e in g done b y 9 m ilk

r o u t e s w ith 9 heavy duty v e h i c l e s . The a v e ra g e p r o ­

curement from fa rm e rs i s two l i t r e s p e r day i n p l a i n s

and 1/2 l i t r e p e r day in t r i b a l are a s. The d is t a n c e

c o v e re d p e r day in the m ilk sh ed a r e a i s around 2,300

kms. The a v e ra g e t r a n s p o r t c o s t o f m ilk i s e s tim a te d

a t 12 p a is e p e r l i t r e , and the o v e rh e a d s p e r l i t r e

e x c lu d in g d e p r e c ia t io n i s p la c e d a t Rs.1.20 p e r l i t r e .

problem s in M ilk Procurem ent;

M a jo r it y o f the m ilk p ro d u c e rs a re m a rg in a l

and sm a ll fa rm e rs and a g r i c u l t u r a l la b o u r e r s and most

o f the v i l l a g e s a re sm a ll in s iz e and p o s s e s s in g p o o r

q u a l i t y o f c a t t l e which a re under p r o d u c t io n . Hence

m ilk c o u ld n o t b e p ro c u re d i n s t ib s t a n t i a l q u a n t i t i e s

from i n d i v i d u a l c o l l e c t i o n c e n t r e s . M ost o f th e c o l ­

le c t io n c e n tre s, t h e r e f o r e have n ot b een e c o n o m ic a lly

v i a b l e due t o v a r i a t i o n s in the su p p ly o f m ilk o v e r

d i f f e r e n t p e r io d s o f the y e a r . ^

6. Ib id .

Andhra University, Visakhapatnam

P r i c i n g o f M iP c:

P r i c i n g o f the m ilX i s b a s e d on i t s f a t c o n te n t

w hich i s a h ig h ly v a r i a b l e c o n s t it u t e n t o f m ilk * It

v a rie s # from s p e c ie s t o s p e c i e s , and w i t h i n s p e c ie s

b r e e d to b r e e d , and w it h in b r e e d anim al to an im al* In

o t h e r w o rd s, f a t p e rc e n ta g e o f m ilk i s a fu n c t io n o f

g e n e t ic and in h e r it a n c e c h a r a c t e r and to a c e r t a i n e x ­

t e n t dep en d in g on fe e d in g and m a n a g e ria l p r a c t i c e s . In

In d ia # most o f th e m ilk p ro c u re d i s from b u f f a l o e s o n ly ,

whose f a t p e rc e n ta g e i n i t s m ilk ra n g e s from 6 to 14,

The p r e s e n t procurem ent r a t e i s R s,2 *4 1 f o r 6 p e r cen t

and R s .2 .7 7 f o r 7 p e r cent/ and R s,3 *1 2 f o r 8 p e r c e n t ,

and R s.3 *5 9 f o r 9 p e r c e n t f o r each l i t r e o f m ilk .

W hereas most o f tne w e s te rn c o u n t r ie s a re f i x i n g th e

p r i c e o f m ilk on i t s p r o t e in p e rc e n ta g e s in c e i t is a

most v i t a l n u t r ie n t o f m ilk .

C o st o f M ilk :

At p resen t, alm ost a l l the p la n t s in the c o u n try ,

where p r o c e s s in g o f f l u i d m ilk ta k e s p la c e , and i s sup­

p lie d to the u rban a r e a s , a re s u s t a i n in g l o s s e s . W hereas

the u n i t s o f AMUL o f Anand o f K a ir a d i s t r i c t o f G u j a r a t ,

a re c o n v e rt in g alm ost a l l the p ro c u re d m ilk i n t o p ro d u c ts

lik e m ilk powder# ch eese and b u t t e r # w hich le d to t h e i r

Andhra University, Visakhapatnam

p r o je c t . The m a jo r rea so n f o r s u s t a in in g l o s s e s b y

the p la n t s which a re p r o c e s s in g f l u i d m ilk i s a ls o

due to o v e rh e a d s and n o n -v i a b le m ilk c o l l e c t i o n cen­

t r e s d i s p r o p o r t i o n a t e to t r a n s p o r t c o sts# p r o c e s s in g

c o st, b o t tlin g and p a c k a g in g c h a r g e s and th e o t h e r

a d m in is t r a t iv e c h a r g e s . If la r g e q u a n t i t i e s o f m ilk

c o u ld b e p ro c u re d by the c o l l e c t i o n c e n tre s/ the o v e r ­

head c h a rg e s can be b r o u g h t down s u b s t a n t i a l l y . At

p re se n t/ most o f th e m ilk c o l l e c t i o n c e n t r e s a re p r o ­

c u r in g m ilk in v e r y sm all q u a n t it ie s # and some tim es

t h e r e may be l e s s than 100 l i t r e s i n some c e n t r e s ,

w hich a f f e c t s the p r i c e p a i d t o the fa rm e r who i s

p ro d u c in g the m ilk . The p r i c e p a id by the daiiry p l a n t s

from time to time may n o t be re m u n e ra tiv e to the farm er,

The p r e s e n t c o s t o f p r o d u c t io n o f one l i t r e o f m ilk

ra n g e s from R s .3 .5 0 to R s .5 .0 0 , w h ereas th e a v e ra g e

procurem ent p r i c e i s w o rk in g o u t to R s .2 .5 0 o n ly . The

r e a s o n s f o r t h i s may b e many. The type o f c a t t l e w hich

a re b e in g r e a r e d b y the fa rm e r i s a ls o im p o rta n t f o r

the c o s t o f m ilk . I t is s a id th a t , any anim al which

g iv e s le s s than 200 l i t r e s in a s in g le la c t a t io n o f

300 d a y s i s n o t e c o n o m ic a l. U n f o r t u n a t e ly , most o f

the r u r a l m ilc h an im a ls a r e v e ry p o o r, and t h e i r l a c t a ­

t io n , on an a v e ra g e , h a r d ly to u c h e s o v e r 1000 l i t r e s .

Andhra University, Visakhapatnam

A f t e r the adven t o f modern b r e e d in g p r a c t i c e s u p g ra d in g

o f o u r d e s i an im als has s t a r t e d , bome im provem ent how­

ev e r, is seen among o u r r u r a l m ilc h a n im a ls as compared

to the two p a s t d ecades n o t v e r y s i g n i f i c a n t th o u gh .

Even o u r so c a l l e d re p u te d n a t io n a l b u f f a l o b r e e d , the

'M u rrah * whose herd a v e ra g e does not e x c e e d 1500 l i t r e s

o f milJc i n 300 days l a c t a t i o n u nder th e farm f e d and

b r e a d c o n d it io n s . The daiary in d u s t r y th u s d i d not

a t t a i n the phase o f c o m m e rc ia lis a tio n a t th e p r e s e n t

p r o d u c t io n le v e ls # g iv e n the q u a l i t y o f the a n im a ls .

F u rth e r# the a v a i l a b i l i t y o f fo d d e r a n d fe e d a re a ls o

n o t a d e q u a te . The p e r c a p i t a a v a i l a b i l i t y o f th e

e n e rg y and p r o t e in s a re o n ly a t 60 p e r c e n t and 60 p e r

c e n t le v e ls # r e s p e c t iv e ly , to t h e i r r e q u i r e d l e v e l .

U n f o r t u n a t e ly , we a re h a v in g a l i v e s t o c k p o p u la t io n o f

phenomenal m agnitudes w hich seem to b e m o stly u n d e r­

p r o d u c t iv e and u n p ro d u c tiv e .

C a p a c ity o f U t i l i s a t i o n o f P la n t s :

A lm ost a l l the p l a n t s in An dhra P ra d e sh seem

to have a c o n s id e r a b le d e g r e e o f un d er u t i l i s a t i o n o f
7
c a p a c it y . The Visaicha D a ir y p la n t# which i s h a v in g

c a p a c it y o f p r o c e s s one la k h l i t r e s p e r day# i s now

o p e r a t in g a t about 60,000 l i t r e s o n ly d u r in g th e f lu s h

7 ,I b i d ., p p ,7 7 -8 4 ,

Andhra University, Visakhapatnam

season and 30/000 l i t r e s d u r in g the le a n s e a s o n . The

c h illin g c e n t r e o f N arasip atn am i s o p e r a t in g a t ab ou t

8,000 lit r e s p e r day w h ile its c a p a c it y i s 12,300 l i t r e s

The w ide v a r i a t i o n i n procurem en t i s l a r g e l y due to the

p ro d u c in g anim al which i s a s e a s o n a l p r o d u c e r . C a lv in g

ta k e s p la c e d u r in g the w i n t e r seaso n and the anim al

g o e s d ry some time in the month o f J u ly -A u g u s t-b e p t e m b e r

On accoun t o f the s e a s o n a l f l u c t u a t i o n s t h e r - e ^ s a trem ­

endous s t r a i n on the m ark etin g system . The consum ption

le v e l i s alm ost u n ifo rm th ro u g h the y e a r# and a t tim e s ,

tne demand w i l l be on 0 the in c r e a s e d u r in g summer months

la r g e ly due t o m a r r ia g e s , cerem on ies and s e v e r a l o t h e r

f u n c t io n s . In o r d e r to meet t h i s demand, and t o main­

ta in i t c o n s i s t e n t ly skimmed m ilk pow der h as t o be used

d u r in g the le a n season which means t h a t the f l u s h seaso n

m ilk has to be c o n v e rte d in t o pow der, and the same has

t o be r e u t i l i s e d d u rin g the le a n seaso n w hich adds t o

the c o s t o f p l a n t .

C h illin g Centres?

C h illin g c e n tre i s an in t e r m e d ia t e s t a g e betw een

t h e procurem ent and the f i n a l p r o c e s s in g whan p r o c u r e ­

ment ta k e s p la c e from f a r away p la c e s from the main

p r o c e s s in g c e n t r e , i # e , , beyon d 50 kms. and t h e r e i s

Andhra University, Visakhapatnam

e v e ry n e c e s s it y f o r e s t a b lis h m e n t o f th e c h i l l i n g cen­

tre. As a lr e a d y s t a t e d , th e ra ilk i s such a p e r i s h a b l e

cornraodity# it cann ot be p r e s e r v e d f o r ruore than 6 h ou rs

w ith o u t any tre a tm e n t* Thus# when the s u r p lu s m ilk i s

a v a ila b le a t f a r t h e r most p o in t s , more c h i l l i n g cen tres

h ave g o t to be e s t a b l i s h e d . A f t e r th e adven t o f the

s o c io -e c o n o m ic programmes l i k e the D . p . a . P . , D .R .D .A .

and the I .T . D * A . f o r im p rov in g th e econom ic s t a t u s o f

w eaker s e c t io n s , it is fe lt t h a t d a i r y in g programme

w ou ld h e lp to t a c k le more e x p e d i t i o u s l y th e p roblem o f

r u r a l m asses. The developm ent programmes u n d e r th e

p la n s , t h e r e f o r e con tem p lated l a r g e s c a le d i s t r i b u t i o n

o f d a i r y u n it s i n the r u r a l a r e a s . A number o f m ilk

c h illin g c e n t r e s have a ls o been e s t a b l i s h e d so a s to

stre n g th e n the m ark etin g o f r a ilk . B u t u n f o r t u n a t e ly ,

m ost o f the c h i l l i n g c e n t r e s a re even b e in g c lo s e d

down, p a r t i c u l a r l y i n the t r i b a l are a s.

In a l l th e se programnaes most o f th e b e n e f i c i a ­

r ie s a re chosen from a g r i c u l t u r a l l a b o u r e r s , m a rg in a l

fa rm e rs and owners o f sm a ll h o ld in g s . D a ir y in g is

b a s ic a lly a s u b s i d i a r y o c c u p a tio n and c o u ld b e v i a b l e

a s an a d ju n c t to a g r i c u l t u r e , w h ile th e an im a ls a r e

a r ic h source o f manure to the fa rm e rs the a g ric u lt u r a l

Andhra University, Visakhapatnam

b y -p r o d u c t s v i z . , starch , cake and husk a r e b e in g fe d

to the c a t t l e which a re o t h e r w is e w a ste d and th u s th e se

p ro d u c ts a re b e in g u t i l i s e d f o r more p r o d u c t iv e pu rposes#

thu s i n d i c a t i n g a m utual dependence o f the fa rm e r s and

the c a t t l e .

The b e n e f i c i a r i e s who a re s e le c t e d f o r d a i r y i n g

programme may h ave, in a l l c a s e s th e f a c i l i t y o f fr e e ly

a v a ila b le a g r i c u l t u r a l p ro d u c ts a t t h e i r d i s p o s a l b e ­

cau se a m a jo r it y o f them a re la n d l e s s a g r i c u l t u r a l

la b o u r e r s o r s m a ll and m a rg in a l fa rm e rs w ith f r a c t i o n a l

la n d h o ld in g s . B u t, p u rc h a s in g o f th e f e e d i n g r i d i e n t s

and o t h e r a g r i c u l t u r a l b y -p r o d u c t , is not e a s i l y an

e c o n o m ic a l p r o p o s it io n # lo o k e d a t from the p o in t o f

th e ty p e o f anim al we a re h a v in g . In t r i b a l a r e a s the

sto ry i s a lt o g e t h e r d i f f e r e n t . They a re a lm o s t C t a lly

new to the programme and th e v e ry c u l t u r e . E a r lie r ,

they have n ever r e a r e d the anim al w it h a v ie w t o p r o ­

duce m ilk , Tne r a t i o n a l e in s u p p ly in g the m ilc h anim al

t o t h i s type o f b e n e f i c i a r y w i l l be d i f f i c u l t f o r sub­

s ta n tia tio n and much can be a rgu ed on e i t h e r s id e b u t

a t p r e s e n t m o s t o f the c h i l l i n g c e n t r e s w hich w ere

s t a r t e d i n the t r i b a l a r e a s a re c lo s e d .

Andhra University, Visakhapatnam

Employment P o t e n t i a l :

The employment p o t e n t i a l i n d a i r y in d u s t r y i s

m a n ifo ld lo o k e d a t from the p o in t o f s o lv in g th e u n d e r­

employment in r u r a l a re a and c r e a t i n g a w h ole tim e em­

ploym ent f o r the p e rs o n n e l in v o lv e d i n p rocu rem en t,

tra n sp o rtf p r o c e s s in g and m ark etin g # e t c .

As a lr e a d y sta te d , 80 p e r c e n t o f t h e r u r a l

m asses a re in v o lv e d i n a g r i c u l t u r a l a c t i v i t i e s , and

it is an a c ce p te d f a c t t h a t a g r i c u l t u r a l o p e r a t io n s

a re s e a s o n a l. And w henever a s s u re d i r r i g a t i o n is

a v a ila b le it i s p o s s i b l e to r a i s e more than one c ro p

on the la n d in an y e a r . The number o f man d ays a re

e s tim a te d around 150 t o 200 days and th e r e s t o f the

p e r io d o f the y e a r , the a g r i c u l t u r a l la b o u r e r # m a rg in a l

and sm a ll fa rm e rs a re unemployed o r u n d erem p loyed . A f t e r

the advent o f the d a i r y developm ent programme, it has

p r o v id e d an a s s u re d m arket f o r m ilk , the r u r a l f o l k

h avin g had s t a r t e d th e management o f the c a t t l e th ro u gh

p r o p e r n u t r i t i o n and m a n a g e ria l p r a c t i c e s . It is a ls o

s a id t h a t by p r o v id in g p r o p e r n u t r i t i o n and a d o p tin g

s u i t a b l e management p r a c t i c e s , the e x i s t i n g p r o d u c t io n

p o t e n t i a l o f the anim al can be r a i s e d by a b o u t 40 p e r cent

Andhra University, Visakhapatnam

Thus most o f the r u r a l f o l k a re en gaged i n d a i r y i n g

p r a c t i c e s d u r in g i d l e time# and i t s o lv e s the problem

o f u n d er employroent in r u r a l a r e a s to some e x t e n t .

T h ere are however some n e g l i g i b l e number o f f a m i l i e s

who# a re o c c u p ie d on w h ole tim e b a s i s . A p a r t from

a tte m p tin g the q u e s t io n o f s o lv in g the under-em ploym ent

problem i n r u r a l area# it is a ls o c r e a t in g employment

t o the p e rs o n n e l in v o lv e d i n railic c o l l e c t i o n # tra n sp o r­

t a t io n # p r o c e s s in g and m a rk e tin g . The V is a k h a D a ir y

is o p e r a t in g in 400 m ilk c o l l e c t i o n cen tres and m arket­

in g th rou gh 250 m ilk b o o th s and em ployed a b o u t 10

l o r r i e s w ith w ork e rs f o r t r a n s p o r t a t i o n o f m ilk and

c o u p le o f v e h i c l e s w ith w o rk e rs f o r s u p p ly in g p r o c e s ­

sed m ilk to th e s a le p o i n t s . Thus i t can be presumed

t h a t a p la n t w ith h a n d lin g c a p a c it y o f 50,000 l i t r e s

can p r o v id e employment to 100 p e rs o n n e l a t th e r a t e o f

one p e rso n f o r 50 l i t r e s o f m ilk *

M ark etin g o f M ilk s

L o c a l m ark etin g in u rb an area# is a rr a n g e d on

commission b a s i s . A f t e r in t r o d u c in g the p o ly th e n e

p a c k in g system# a f t e r p ro c e s s in g # the problem o f

a d u lt e r a t io n a t the d i s t r i b u t i o n p o in t i s m in im ise d .

Andhra University, Visakhapatnam

At p r e s e n t cons'uraption o f m ilk m arketed th ro u g h V is a k h a

D a iry i s ab ou t 50 to 55 thousan d l i t r e s a day. B ut t h e r e

a re consumers who a re g e t t i n g t h e i r m ilk from o t h e r than

t h i s o r g a n is e d s e c t o r , borne consum ers g e t t h e i r m ilk

from u rba n c a t t l e owners (G o v a la s ) . And# consum ers a re ii

the h a b i t o f g e t t i n g the anim al to t h e i r d o o r s t e p and

the anim al i s b e in g m ilk ed i n t h e i r p r e s e n c e , end th e

consumers seem to have g r e a t e r s a t i s f a c t i o n o f consuming

the wholesome m ilk by p a y in g a l i t t l e h ig h e r p r i c e fo r

the produce i . e . , abou t R s .4 / - p e r l i t r e o f m ilk i n s t e a d

o f R s .3 .5 0 p e r l i t r e * In such m ilk , the o r i g i n a l f a t

p e rc e n ta g e i s i n t a c t w ith m ilk , w h e re a s the o r g a n is e d

d a iry s e c t o r has been su p p ly in g o n ly to n ed m ilk w it h 3

p e r c en t f a t . The u rb a n c a t t l e ow ners a re m a in t a in in g

t h e ir d a iry an im als under stre n o u s c irc u m s ta n c e s w h ich

is q u it e c o n t r a d ic t o r y to t h e i r c o u n t e r p a r t in r u r a l

areas. These c a t t l e ow ners p r o c u re b e t t e r b u f f a l o e s

w ith h ig h ^ y i e l d i n g c a p a c it y and k eep them in s u f f i c i ­

e n t numbers and they are f e d w it h c o n c e n tra te d fe e d s#

paddy stra w and g re e n fo d d e r , and a ls o d e p r iv e the

c a lv e s o f t h e i r r e a s o n a b le sh are o f m ilk ,a n d sometimes

the c a lv e s a re k i l l e d b y a d o p tin g slow s t a r v a t i o n p r o c e s s

in the i n t e r e s t o f h ig h e r p r o f i t s • Thvts, th e u rb a n Govalc

i s making b e t t e r p r o f i t s on d a i r y i n g th an h i s c o u n t e r p a r t

Andhra University, Visakhapatnam

in ru ra l a re a . He i s a lw a y s b e in g p a id R s , l « 5 0 e x t r a

p ric e fo r 1 lit r e o f m ilk he s e l l s . He p r o c u r e s good

milch, c a t t l e w hich i s a b a s ic fa c t o r in d a ir y in g eco­

nomy and by p r e s e r v in g th e progen y o f th e s u p e r i o r

germ plasm . A ls o , he w i l l s e l l the d ry anim al to

r u r a l a re a as soon a s i t g o e s d r y where p e o p le may

rear i t in d ry p e r io d t i l l the tim e o f c a lv i n g and

send i t f o r r e a r in g on c o n t r a c t b a s i s .

The o t h e r so u rc e s o f s u jjp ly o f m ilk to th e u rb a n

a re a i s th rou gh c y c le v e n d o r s , o p e r a t in g m o stly w it h in

th e r a d iu s o f abou t 5 kms. to th e u rban a r e a . I t is

a l l e g e d t h a t they u se u n sc ru p u lo u s m easures i n p r o c u r e ­

ment as w e l l as m ark etin g and m a in ta in an u n d e rs ta n d in g

and c o n t r a c t w ith the p ro d u c e rs and the consum ers. T h e ir

custom ers a re g e n e r a lly h o t e l i e r s , sw eet shops and some

i n d i v i d u a l consum ers. It is a ls o a l l e g e d t h a t m ilk i s

a d u lt e r a t e d and low payments a re made t o th e p ro d u c e r*

In the r e c e n t , p a s t , the new r i c h t r a d e r s a ls o have

e n te r e d in t o t h i s t r a d e b y ru n n in g m i n i - p a r e l l e l d a i r i e s

They have t h e i r own m ilk r o u t e s i n the v i l l a g e s and

c o lle c t in g system . E x c e p t t h a t they do n ot have th e

p r o c e s s in g p la n t# they a re h a v in g th e r e s t o f the p a r a -

phom etra on p a r w ith the p i i b li c u n d e rta k in g and o t h e r

Andhra University, Visakhapatnam

d a iry o r g a n is a t io n s . T h e ir co n su iaers a re g e n e r a l l y ,

h o t e lie r s # c a n te e n s and o t h e r s and t h e r e f o r e th e p u b l i c

s e c t o r u n d e r t a k in g s d a i r y p r o j e c t s can e x p lo r e th e mar­

k e t in g p o t e n t i a l o n ly by 50 p e r c e n t o f th e a c t u a l p r e ­

v a ilin g p o t e n t ia lit y . T akin g th e p e r c a p i t a m ilk con­

sum ption a t 100 m.gms. f o r i n s t a n c e , it can be p r e s u ­

med t h a t th e u rb a n p e r c a p i t a m i lk consum ption arotind

120 m.gms. p e r d a y , w hich means t h a t the t o t a l consum­

a b le c a p a c it y o f V isakhapatnaro town whose p o p u la t io n

s iz e is a b o u t 8 la k h s can consume 1 la k h l i t r e s per

day# w h e re a s h a r d ly h a l f o f i t s r e q u ire m e n t i s b e in g

met by the o r g a n is e d d a i r y . The r e s t o f the re q u ire m e n t

must be u n d e r th e p r i v a t e s e c to r as in d ic a t e d a lr e a d y .

1 .2 Im p o r t a n c e o f t h e P ro b le m s

As a l r e a d y m e n t io n e d t h e p r e s e n t s t u d y c o n f i n e s

to the d a i r y i n g a c tiv itie s of th e trib a ls in th e two

im p o rta n t d i s t r i c t s of t h e C o s t a l A n d h ra t h a t i s

V is a k h a p a tn a m and t h e S rik a k u la m / w h ic h h a v e come u n d e r

th e j u r i s d i c t i o n of tl^ie I n t e g r a t e d T r i b a l D e v e lo p m e n t

Agency s in c e 1975, and t h e d i s t r i c t o f S r ik a k u l a m had

t h e p a r t i c u l a r a d v a n ta g e o f h a v i n g b e e n i n c l u d e d u n d e r

t h e G i r i j a n D e v e lo p m e n t A g e n c y a s p a r t o f t h e stra tegy

f o r t h e d e v e lo p m e n t o f t h e t r i b a l s b y t h e G o v e rn m e n t

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of In d ia w ith th e a s s o c ia t io n o f t h e S t a t e G o v e rn m e n t,

th e d i s t r i c t o f f i c e r s , th e le a d in g n o n - o f f i c i a l s and

f i n a n c e d b y th e C o o p e r a t i v e F i n a n c i n g A g e n c i e s , th e

G irija n C o o p e ra tiv e A gen cy, t h e C o m m e rc ia l Banks and

t h e S t a t e G o v e rn m e n t, T h e s e two d i s t r i c t s c o v e r more

th a n 70 p e r c e n t o f t h e e n t i r e t r i b a l p o p u la tio n o f

A n d h ra P r a d e s h , and a l s o r e p r e s e n t c o n s id e r a b le con­

tig u ity w ith the p la in s in re s p e c t o f g e o g ra p h ic a l

d is ta n c e and t h e n a t u r e o f t h e a g r i c u l t u r a l p r o b le m s

a ffe c tin g th e p o p u la tio n , and i n a way more c l o s e t o

c iv ilis a tio n and t h e r e f o r e more e a s y t o b r i n g them t o

t h e f o l d o f ec o n o m ic p l a n n i n g . T h e s e tw o d i s t r i c t s

are a l s o i m p o r t a n t l o o k e d a t fr o m t h e p o i n t o f f a c t

t h a t A nd hra P r a d e s h r e p r e s e n t s more th a n 40 p e r c e n t

of th e t o t a l t r i b a l p o p u la tio n o f t h e c o u n t r y and

th e re fo re th e r e a s o n s and c o n c l u s i o n s drawn i n res­

pect o f th ese two d i s t r i c t s w i l l h a v e a s u ffic ie n t

b e a r i n g f o r p l a n n i n g and i m p l e m e n t a t i o n f o r t h e r e s t

o f th e s o c ie ty . In th e V is a k h a p a tn a m d i s t r i c t i t s e l f

th e I.T .D .A . programme c o v e r e d t h e e n t i r e tr ib a l area

w h ic h i s a b o u t 1/3 o f th e d i s t r i c t , and b y t h e en d o f

1979, th e I . T . D . A . d is trib u te d a b o u t 3000 m i l c h a n im a ls

to v a rio u s b e n e f ic ia r ie s . But t h e n o rm a l c o m p l a i n t

seems t o p e r s i s t t h a t t h e r e i s a g e n e r a l la c k o f an

Andhra University, Visakhapatnam

o r g a n is e d m arket system f o r the m ilk e x c e p t t h a t the

m ilk c o l l e c t i o n has been t a k in g p la c e a t th e c e n t r e s -

c u m -sa le p o in t s a t P a d e ru , C h i n t a p a l l i and A raku a r e a s .

Keeping i n mind the p r o s p e c t s o f an e x te n d e d system o f

d a i r y in g in t h i s b e l t , the Andhra P ra d e sh D a ir y D eve­

lopm ent C o rp o ra t io n has s t a r t e d f o u r y e a r s ago t h e s e

m ilk c h i l l i n g c e n t r e s a t P ad e ru , C h i n t a p a l l i and A raku

which a re a l l i n the r a d iu s o f 50 m ile s and t h i s g e s t u r e

has n o rm a lly ro u se d the e x p e c t a t io n s o f the Government

and the p e o p le t h a t th e se th re e m ilk c h i l l i n g cen tres

w ou ld be a b le to add s u b s t a n t i a l l y t o th e V is a k h a

D a ir y a d d it io n s t o m ilk c o n s i s t e n t w it h th e g ro w in g

demand o f a f a s t g ro w in g u rb a n community. In t h i s r e ­

g ard i t sh o u ld be a ls o p o in t e d o u t t h a t a t B h a d r a g ir i

o f S rik ak u lam a l s o , around the same tim e , the m ilk

c h illin g c e n t r e s w ere o r g a n is e d t o p r e s e r v e m ilk c o l ­

le c t e d by v a r i o u s railk c e n t r e s o f S rik a k u la m and send

it to the n e a r e s t d a i r y .

U nder th e c o n d it io n s o f ch an gin g p a t t e r n s o f

p o p u la tio n # m o d ern isatio n # and changes i n fo o d h a b it s

con sequ en t on the changes i n the incom es o f the p e o p le ,

t h e r e has. bee® a r a p id g ro w th i n the demand f o r m ilk

p a r t i c u l a r l y i n the Visakhapatnam c i t y . And a t p r e s e n t

Andhra University, Visakhapatnam

the Visalcha D a ir y has been o p e r a t in g w it h a b o u t 30,000

l i t r e s o f m ilk p e r day and m arkets m ilk t o th e c i t y

and even th e o u t s k i t s and even m eets th e i n d u s t r i a l

demand t o a c o n s id e r a b le e x t e n t . It is f e l t o fte n th a t

if th e m ark etin g system i s f u r t h e r s tre n g th e n e d and the

u n s c ru p u lo u s m ilk v e n d o r o p e r a t io n is re s tr ic t e d , th e r e

w ou ld be ample scope to s e l l a b o u t one la k h l i t r e s of

m ilk p e r day by in c r e a s in g the c a p a c it y o f th e d a i r y .

Thus th e r e i s a f e l t need f o r d i s t r i b u t i n g the m ilc h

a n im a ls b o t h in p l a i n s and th e t r i b a l a r e a f o r th e

augm entation o f the m ilk p r o d u c t io n in th e d i s t r i c t

v h ic h i n d i r e c t l y change the s o c io -e c o n o m ic s t r u c t u r e

o f th e p l a i n s as w e l l as the t r i b a l a re a .

In the d i s t r i c t o f S rik a k u la m the t r i b a l s have

8
come u n d e r th e p u rv ie w o f the G i r i j a n D evelopm ent Agency

as f a r back a s 1972# and the e n t i r e p r o j e c t c o n c e iv e d

as an autonomous body in the name o f GDA w hich o p e r a te d

i n 9 b lo c k s sp re a d o v e r 5 t a lu k s c o v e rin g an e x t e n t o f

1770 s q -m ile s and 1581 v i l l a g e s w it h a t o t a l p o p u la t io n

7 .4 la k h s o f w hich the t o t a l t r i b a l p o p u la t io n was

8 .F o r an a n a l y s i s o f the programmes o f the G i r i j a n

Developm ent Agency, See the R e p o rt on the Study o f
G i r i j a n Developm ent A gen cy, A gro-E conom ic R e se arc h
C e n t r e , Andhra U n i v e r s i t y , W a l t a i r , 1977.

Andhra University, Visakhapatnam

e s t i m a t e d a t 1*3 la k h s and t h e e c o n o ra ic base of t h e

i n d i v i d u a l t r i i D a l h o u s e h o ld s b y a s e r i e s o f programm es

i n w h ic h t h e a d m i n i s t r a t i v e p a r tic ip a tio n , b u ild in g

up t h e a s s e t s j» a n d t h e p r o v i s i o n s o f the i n f r a s t r u c -
I
tu re i n c l u d i n g r o a d s and m in o r i r r i g a t i o n , and s t r e n ­

g th e n in g o f th e c o o p e r a t iv e i n s t i t u t i o n s w ith a d e q u a te

h e lp fo r c o v e rin g ris k and a t t h e same t i m e i n c l u d i n g

im p o rta n t a c t i v i t i e s in t h e programme such as a g r i c u l ­

tu re, p la n ta tio n , a n im a l h u s b a n d r y , p o u l t r y d e v e lo p m e n t

and f i s h e r i e s fo r a ll c o n c e iv e d as im p o rta n t it e m s .

F o r th e f i r s t tim e t h e d a i r y i n g schem es h a v e come

i n t o b e i n g as an o r g a n i s e d s y s te m th o u g h o r i g i n a l l y

t h e t r i b a l s d i d n o t h ave a t r a d i t i o n o f d a iry in g as

an o c c u p a t i o n . Th e im p o r t a n c e o f s tu d y in g th e s e schemes

fr o m th e p o i n t o f v i e w o f t h e i r im p a c t on t h e s o c ie ty

lie s in n o t ic in g th e ex p ected b e n e f i t s on t h e o n e hand

and t h e o b s e r v e d b e n e f i t s on t h e o t h e r , p a rtic u la rly

when s e v e r a l a g e n c i e s h ave made a r r a n g e m e n t s f o r th e

s u p p ly o f f e e d s and o t h e r i n p u t s and m a r k e t i n g o f

m ilk , as w e l l . T h is stu d y t h e r e f o r e fo c u s e s i t s

a t t e n t i o n on t h e e c o n o m ie s o f d a i r y programm es a t

th e l e v e l o f th e fie ld w ith d a ta o b ta in e d a t v a r io u s

p o in ts o f tim e , and s tu d y t h e c h a n g e s t h a t h ave t a k e n

p l a c e i n t h e economy o f t r i b a l , and in d ic a t e w h eth er

Rs

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the a c t i v i t y w ou ld be w it h in the realm o f f e a s i b i l i t y ,

and i f not# w hat s t e p s have to be tak en to make the

programmes more s u c c e s s fu l# p a r tic u la rly a f t e r th e

ad ven t o f the I* T * D * A , w h ich have the ad v a n tag e o f over-

coraing some o f the problem s f a c e d b y th e e a r l i e r agency

1 .3 O b j e c t i v e s o f t h e S t u d y i

The s p e c i f i c o b j e c t i v e s of th e s tu d y a r e :

i. to examine the t r i b a l economy a f r e s h from

the p o in t o f v ie w o f the so c io -e c o n o m ic

backgrou n d o f t r i b a l s ;

ii. to examine the p a t t e r n s o f m ilk p r o d u c t io n ,

w hich in c lu d e s fe e d in g and management p r a c ­

t ic e s ;

iii. to e s tim a te the m a rk e ta b le s u r p lu s o f m ilk ;

iv . to e stim a te the c o s t s and r e t u r n s o f m ilk

p r o d u c t io n ;

V, to e stim a te the in p u t -o u t p u t r e l a t i o n s h i p s

i n m ilk p r o d u c t io n ; and

V i. to examine the f e a s i b i l i t y o f d a iry d ev e­

lopm ent programmes i n the t r i b a l a r e a s .

1 .4 M e t h o d o l o g y :

As s t a t e d e a r l i e r th e stu d y c o v e r s t h e t r i b a l

Andhra University, Visakhapatnam

a r e a s o f b o th Visakhapatnam and Srilca]culam d i s t r i c t s .

A n a ly s i s i s c a r r i e d o u t s e p a r a t e ly f o r b o th th e r e g i o n s .

The a n a ly s i s f o r the S rik a k u la m t r i b a l a re a i s done a t

t h r e e p o in t s o f time where as the a n a l y s i s f o r V is a k h a ­

patnam t r i b a l a r e a i s c a r r i e d o u t a t a s i n g l e p o in t o f

tim e due to d a ta l i m i t a t i o n s .

The d a t a r e l a t i n g to the study o f V isakh ap atn am

t r i b a l have been c o l l e c t e d i n 1981-82 b y u s in g th e

th re e stage s tra t ifie d random sam p lin g d e s i g n . The

fir s t stage sam plin g u n i t s have been th e b lo c k s , the

v i l l a g e s w it h in the b lo c k s w ere th e secon d s t a g e sam pl­

in g u n its # end the h o u se h o ld s w it h in t h e v i l l a g e s w ere

the t h i r d s ta g e sam plin g u n i t s . We have s e le c t e d fiv e

o u t o f the e ig h t b lo c k s , namely# P a d e ru , C h in t a p a lli,

A rak u , K adugula and A n a n t a g i r i in the f i r s t stage and

fiv e v illa g e s from each s e le c t e d b lo c k w ere s e le c t e d

i n the second s ta g e and 12 h o u se h o ld s from each s e l e c ­

te d v i l l a g e s were s e le c t e d in the t h i r d stage. Thus a

t o t a l o f 300 h o u se h o ld s were s e le c t e d and c a n v a sse d by

a p r e d e s ig n e d s c h e d u le . The d a t a c o l l e c t e d p r o v id e

in fo r m a t io n on s o c i a l and economic v a r i a b l e p a r tic u la rly

lit e r a c y rates, fa m ily s i z e , s i z e o f la n d h o ld in g s ,

o c c u p a t io n a l p a t t e r n ^ , c h a r a c t e r i s t i c s o f the a n im a ls .

Andhra University, Visakhapatnam

th e n a tu re o f fe e d s s u p p lie d to the a n im a l, v a r i a t i o n s

in m ilk y i e l d , nrilk p ro d u c tio n p r a c t i c e s / m a rk e ta b le

s u r p lu s e s o f m ilk , th e c o s t o f m ilk p r o d u c t io n and the

income and e x p e n d it u r e p a t t e r n s .

R e g a rd in g the a n a l y s i s o f S rik a k u la m t r i b a l # th e

stud y r e l a t e s t o th re e d i f f e r e n t p e r i o d s - F o r th e p e r io d

1972-75 an e v a lu a t i o n has beeR made w it h the h e lp o f d a t a

a v a i l a b l e w it h the A gro-E conom ic R e se a rc h C en tre o f Andhr<

U n i v e r s i t y on a l l r e le v a n t ite m s, and f o r th e p e r io d 1979

1981 the e v a lu a t i o n r e f e r s t o the d a t a p ro v id e d b y th e

I . T . D . A , u n t i l the y e a r 1981 and the C en tre f o r D e v e lo p ­

ment S t u d i e s , Andhra U n i v e r s i t y . The t h i r d stage eva­

lu a t i o n o f the S rik a k u la m t r i b a l r e la t e s to a sam ple

su rv e y conducted in 1982-83 i n r e s p e c t o f a b o u t 40 sample

b e n e f i c i a r i e s i n Seetham peta b lo c k and ab ou t n e a r ly the

same sample s i z e in the S a l u r b lo c k . Thus, the stu d y

p r o v id e s a lm o st a c o n tin u o u s e v a lu a t i o n o f one o f the

m ost im p o rta n t t r i b a l d i s t r i lB t o f Andhra P ra d e s h .

V a r io u s d a t a have b een b ro u g h t i n t o com parable form so

as to m a in ta in m e a n in g fu l o b s e r v a t io n s *

The v i l l a g e s s e le c t e d u n d er th e two b lo c k s have

been s i t u a t e d in a r a d iu s o f more than 100 m ile s# c: ’

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and th e h a b i t a t i o n s have b een f a r f lu n g from e a c h o t h e r ,

and w h ile we have s e le c t e d some o f th e re m o te st v i l l a g e s

f o r a p u r p o s iv e in q u i r y as t o the e f f e c t o f th e schemes,

we have a ls o s e le c t e d some v i l l a g e s w hich have been e x ­

posed to c o n s id e r a b le c u l t u r a l t r a n s i t i o n m a in ly due to

t h e i r p r o p in q u it y t o u rb an c e n t r e s a s w e l l a s n e a rn e s s

to the main a r t e r i e s o f i n f r a s t jr u c t u r e •

The im pact o f the schemes have g e n e r a l l y been

ju d g e d i n term s o f the a d d i t i o n a l income r e c e iv e d b y

the b e n e f i c i a r i e s from the d a i r y i n g a c tiv it ie s and the

d iv e rs ific a t io n t h a t has tak en p la c e in the economy o f

the t r i b a l p a r t i c u l a r l y i n r e s p e c t o f h is a g ric u ltu ra l

o p e r a t io n s and o t h e r a sp e c ts o f o c c u p a t io n a l p a t t e r n s .

And w h e re v e r i t was n e c e s s a ry th e v ie w s and o p in io n s

o f the t r i b a l s have been o b t a in e d i n r e s p e c t o f th e

b e n e f i t s o f the schemes* S e v e r a l q u e s t io n s o f g e n e r a l

n a tu re have a ls o been in c lu d e d i n t h i s f r a m e work

a s c e r t a in i n g the l e v e l s o f m o t iv a t io n an d th e p s y c h o lo ­

g i c a l d i s p o s i t i o n o f the t r i b a l b e n e f i c i a r y . The con­

s i d e r a t i o n o f the m ethodology on the w h o le , t h e r e fo re ,

h as been to u n d e rsta n d the t a r g e t s and achievem ents

w h ich w ere s t a t e d in a g e n e r a l form and the perform an ce

o f the sam ple b e n e f i c i a r i e s .

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 The m ilk y i e l d s w ere r e c o r d e d i n a cco rd an ce

w it h the a c t u a l measurem ent. The p a r t i c u l a r s o f fe e d ­

in g w ere a ls o r e c o rd e d by a c t u a l w eigh m en t. The l a c t a ­

t i o n a l y i e l d o f an anim al was o b t a in e d b y m u lt ip ly in g

th e a v e ra g e d a i l y m ilk y i e l d d u r in g m ilk in g p e r io d by

the a v e ra g e l a c t a t i o n a l le n g t h . The c o s t s and r e t u r n s

o f m ilk p ro d u c tio n were e s t im a t e d by the a c co u n tin g

m ethod. R e g r e s s io n a n a l y s i s te c h n iq u e was used as

an a n a l y t i c a l method f o r s t u d y in g in p u t -o u t p u t r e ­

l a t i o n s h i p in m ilk p r o d u c t io n .

1*5 Scope o f th e S tu d y :

The f o ll o w i n g are the b lo c k s and v i l l a g e s s e le c ­

t e d f o r th e stu d y i n Visakhapatnam and S rik a k u la m

T r ib a l areas.
♦

V i s akh ap a t n am;

B lo c k V illa g e

l.P a d e r u l.H ukum pet

2 .C h in t a la v e ed

3 .K h in d a n g i

4 .M in im uluru

B .V an th am id i

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B lo c k V illa g e

Z .C h in t a p a lli 1 # C h in t a p a l11

2 .R a ju p a k a lu

3 .Downoor

4 .C h o u d u p a lli

5 .L o th g e d d a

3 .A raku l.S u n k a r a Metha

2 *B tillu g u d a

3 .P a n ir a n j a n i

4 .A raku

5.Ram al Guda

4 ,G .M ad u gu la 1 •B andaveedh i

2 .P a t h a G .M ad u gu la

3 .K o k k i r a p a ll±

4.Dokulu3m

5.M adigunt.a

5 .A B a n t h a g ir i 1 .K o th eru

2. S iV a 1± ng apu r aiB

3 .K asipatnara

4 .A n a n t h a g ir l

5 .Domaku

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S rik a k u la m ;

B lo c k V illa g e

S a lu r 1 .P a lik a v a la s a

2 .N a r la v a la s a

3 •Pedapadarn

Seetham peta 1 .P ed du ru

2 .K ir a p a

3 • P an u k u v a la sa

4 .Chinaram a

We have thu s in c lu d e d the ).^y b lo c k s and the key

v illa g e s and an a p p r o p r ia t e sam ple s i z e fo r re fle c t in g

the stu d y on the v a r i o u s d a t a c o l l e c t e d i n the form o f

the so c io -e c o n o m ic i n v e s t i g a t i o n . As i n d ic a t e d a lr e a d y

th e two d i s t r i c t s — S rik a k u la m and V isakhapatnam o f

Andhra P rad esh r e p r e s e n t t r i b a l p o p u la t io n n o t o n ly o f

s ia b s t a n t ia l p r o p o r t io n o f the t o t a l p o p u la t io n o f the s t a

b u t a ls o com prise f a i r l y d iffe r e n t t rib e s o f fiv e to s ix

c a t e g o r i e s who have been e x p o sed to d i f f e r e n t a ttitu -

d i n a l backgrou n d s and c u l t u r a l t r a d i t i o n s . As the

p u rp o se o f c i v i l i s a t i o n is t o m oderate and s o ft e n the

irr it a n ts o f a s o c ie ty , to th e e x t e n t t h a t the d i f f e r e n t

t r i b a l s have e x i s t e d un d er th e s h e l ' t e r o f c e r t a i n

programmes in te n d e d f o r th e g e n e r a l gro u p s o f the t r i b a l s

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i n s p i t e o f the f a c t t h a t c u l t u r a l t r a d i t i o n s d i f f e r ,

t h e i r econoraic and s o c i a l p r a c t i c e s i n r e s p e c t o f th e

a c t iv it y in q u e s t io n may r e f l e c t s u f f i c i e n t in s i g h t s

f o r the o n lo o k e r and the re s e a rc h e r# and t h e r e f o r e th e

o b s e r v a t io n s made, and th e c o n c lu s io n s drawn i n r e s ­

p e c t o f the t r i b a l s i n q u e s t io n sh o u ld have a p p li c a ­

b ilit y f o r p o li c y m a tte rs i f n o t p ro fo u n d v a l i d i t y ,

f o r a f t e r a l l the so c io -e c o n o m ic stu d y cannot be a

r e fle c t io n in e x a c titu d e •

1*6 P la n o f the S tu d y :

The stu d y i s a rra n g e d in t o e i g h t c h a p t e r s .

The f i r s t c h a p te r c o n s t it u t e s in t r o d u c t io n to th e

problem o f d a i r y i n g in In d ia n economy w ith th e p a r t i c u ­

l a r em phasis on the a c t i v i t i e s o f t r i b a l s . The c h a p te r

a ls o p r e s e n t s an o v e rv ie w o f the p r a c t i c a l p roblem s o f

d a iry in g , nam ely, procurem ent o f m ilk , p r e s e r v a t io n o f

m ilk , d i s t r i b u t i o n o f m ilk , p r i c i n g o f m ilk and the

r o le o f d a i r y in g in employment c r e a t i o n . A ls o the

c h a p te r o u t l i n e s the m ethodology and scope o f the

d is s e r t a t io n .

The second c h a p te r p r e s e n t s an a n a l y s i s o f d a i r y ­

in g a c t i v i t i e s in the c o u n try and b r i n g s to l i g h t the

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o f f i c i a l p o l i c y from p la n t o p la n u n d e r th e v a r i o u s f i v e

y e a r p l a n s • The programmes o f Andhra ^ ra d e s h u n d e r the

v a r i o u s p la n s have a ls o been exam ined so as t o fo c u s

the p roblem tak en up f o r stu d y i n t h e d i s s e r t a t i o n .

The t h i r d c h a p te r i s an e x a m in a tio n o f th e d a i r y ­

in g a c t i v i t i e s o f the t r i o a l s i n V isak h ap atn am . T h is

c h a p te r c o n s id e r s to examine the so c io -e c o n o m ic p r o f i l e s

o f the t r i b a l s i n Visakhapatnam t r i b a l b lo c k s and t h e i r

a t t i t u d e s to d a ir y in g # the management o f the c a t t l e , th e

n a tu re o f d a i r y i n g p r a c t i c e s , the p rob lem s o f m ilk produc-

t io n , the m arket s t r u c t u r e and the c o s t s and r e t u r n s in

the a c t i v i t y .

The fo u r t h c h a p te r i s an e x a m in a tio n o f th e d a i r y ­

in g a c t i v i t i e s o f the t r i b a l s o f S rik a k u la m d i s t r i c t

u n d er G i r i j a n Developm ent Agency d u rin g th e p e r io d 1972-

75. The f i f t h c h a p te r i s a stu d y o f the same problem

and th e p r o g r e s s o f d a i r y i n g u n d er the I n t e g r a t e d T r i b a l

Developm ent Agency d u rin g th e p e r io d 1979-81. The s ix t h

c h a p te r b r i n g s t o l i g h t th e l a t e s t p o s i t i o n o f the

a c t i v i t y o f the t r i b a l p o p u la t io n i n the y e a r 1982-83

and exam ines the q u e s tio n o f the f e a s i b i l i t y o f the

o p e r a t io n s and th e m is s in g l i n k s w hich r e q u i r e to be

D r id g e d .

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 The se v e n th c h a p te r i s an a n a l y s i s o f railk

p r o d u c t io n f u n c t io n s in the two r e g io n s s e le c t e d

f o r stu d y*

The l a s t c h a p te r p r o v id e s summary and con­

c lu s io n s o f the s t u d y .

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