Page 46 - BANKING FINANCE JUNE 2016
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ARTICLE
Cattle and buffalo breeding and calf rearing Production of perennial Lucerne( Alfalfa) as green
fodder/ Fodder production on gochar lands ( com-
Banks have been focusing mainly on financing of milch ani- mon village grounds )in the village
mals under various government sponsored programmes and
dairy activities. Many bankers have felt that this has not The problem of shortage of green fodder and high cost
led to any increase in milk production but has only ensured milk can be tackled by going for cultivation of peren-
transfer of assets already created. The demand for good nial leguminous fodder crop for unirrigated areas including
quality animals has gone up. It is high time that banks shift low, mid and high hills of the State. The newly grown crop
their focus to calf rearing and cattle breeding schemes so is usually ready for first cutting in about 2-4 months after
that better animals can be made available to the dairy the seeding depending upon the altitude. The subsequent
sector. cuttings may be taken at intervals of 30 to 40 days. It may
give, on an average, 350 quintals green fodder per hect-
Frozen semen banks and A.I centers/ Financing of are per year. Bank can provide finance to the individual
A.I services providers to buy motorbikes and semen farmers for his dairy unit or sale to other needy farmers in
cans the area .Green fodder, dry fodder and concentrates have
a deficit of 63 % , 24 % and 76 % ( 2010 data ) respec-
There are presently 44 A & B Graded Semen Stations in tively which means that even at today's demand level for
India producing around 85 million Frozen Semen Doses milk production there is need to double up the land
(FSDs) to cater the need of Artificial Insemination ( A.I) in fodder growing and pastures feed lots for dairy. A "Fod-
the country. It is planned that the A and B Graded Semen der crop loan" can be thought of for fodder cultivation.
Stations together produce around 140 million Frozen Semen
Doses (FSDs) by the end of 2021- 22.For setting up new A.I Conservation and storage of dry fodder and fod-
centers and working capital for existing A.I centers and der banks
to A.I service providers can be explored for financing.
It is the conservation of fodder by converting crop residues
Small, Medium and Commercial dairy farms into fodder blocks through the use of modern technolo-
gies, bailing machines etc. Banks can extend finance to
The number of milch cattle, shed size and other require- set up fodder block making units by considering term
ments etc varies as per requirement for setting up dairy loan and working capital .
farms. Though the Dairy activity can be taken up with a
minimum of two animals as subsidiary activity, it is always Production of fodder seeds
important to canvass and consider units of medium or large
size depending on the availability of forward linkage like pro- Non availability of quality fodder seeds is one of the major
cessing, chilling and packaging. Financing opportunities are constraints in the development of fodder sources .Banks
bright towards purchase of milch cattle , milking machines, can extend financial assistance for creating infrastructure
construction of shed ,Chaff cutter, Silo pit, feed grinder and by the milk union/federation of dairy corporation to pro-
mixer, milking pails/milk cans, Truck/van etc.
Dairy Plants - Tankers, Equipment and machinery
for processing of liquid milk and milk products
More than 400 dairy plants exist in the public ,cooperative
and private sectors . Mother Dairy , Delhi, is one of the
world's largest liquid milk plants located in Delhi, handling
over 800,000 liters of milk per day .Dairy plants can evalve
by tying up with farmers, collecting the milk and undertak-
ing of processing the milk and supply .New dairy plants are
also being set up in the country . Financing such plants
can increase the credit flow to this sector.
46 | 2016 | JUNE | BANKING FINANCE
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