Amul vs Aavin: Tamil Nadu CM asks Amit Shah to intervene as it would create 'unhealthy competition'

Amul vs Aavin: Tamil Nadu CM asks Amit Shah to intervene as it would create 'unhealthy competition'

According to CM Stalin this goes against the spirit of 'Operation WHite Flood' and will create issues for the consumers as there is a shortage of milk in our country.

FPJ Web DeskUpdated: Friday, May 26, 2023, 11:13 AM IST
article-image
Tamil Nadu Chief Minister MK Stalin and Union Home Minister Amit Shah |

Days after the Karnataka election where Amul Vs Nandini was in limelight, Tamil Nadu Chief Minister MK Stalin has asked Union Home Minister Amit Shah to stop Amul from procuring milk from the milk shed of state cooperative as it would create unhealthy competition between cooperatives that are in the business of procuring and marketing milk and milk products.

CM Stalin in his letter to the Home Minister said, "Recently, it has come to our notice that the Kaira District Cooperative Milk Producers Union (Amul), has utilised their multi-state cooperative licence, to install chilling centres and a processing plant in Krishnagiri District and had planned to procure milk through FPOs and SHGs in and around Krishnagiri, Dharmapuri, Vellore, Ranipet, Tirupathur, Kanchipuram and Thiruvallur districts in our state."

He further added that it had been a norm in India to let cooperatives thrive without transgressing into each other's milk-shed area. According to him this goes against the spirit of 'Operation White Flood' and will create issues for the consumers as there is a shortage of milk in our country.

Why is CM Stalin against the entry of Amul?

"This move by AMUL will create unhealthy competition between cooperatives engaged in the procuring and marketing of milk and milk products. Regional cooperatives have been the bedrock of dairy development in the states and they are better placed to engage and nurture producers and to cushion consumers from arbitrary price hikes," he added.

He went on to request Home Minister Amit Shah to intervene and direct Amul to immediately desist from procuring milk shed area of Aavin in Tamil Nadu.

How milk war between Nandini and Amul erupted in Karnataka?

The milk war between Amul and Nandini erupted after the Gujarat-based dairy giant sent a tweet that it would start online deliveries in Bengaluru. This announcement by Amul did not go down well with those involved with Karnataka's dairy brand, Nandini. This move was also seen as an attempt to trample on KMF due to rumours around its merger with the dairy giant.

The issue also intensified after Union Shah in Mandya commented on the coming together of two milk cooperatives. But BJP later came out and cleared the air stating that the the statement never spoke about the merger of two cooperatives.

RECENT STORIES

BSE Issues Trading Alert: Price Bands Revised For 27 Stocks, Effective April 30

BSE Issues Trading Alert: Price Bands Revised For 27 Stocks, Effective April 30

Mother Dairy Hikes Up Milk Prices By ₹ 2; Procurement Costs To Blame

Mother Dairy Hikes Up Milk Prices By ₹ 2; Procurement Costs To Blame

IndusInd Bank CEO Sumant Kathpalia Quits Due To Derivatives Accounting Lapse

IndusInd Bank CEO Sumant Kathpalia Quits Due To Derivatives Accounting Lapse

Paytm's Subsidiary First Game Technologies Faces ₹5712 Crore GST Tax Demand, Plans Legal Challenge

Paytm's Subsidiary First Game Technologies Faces ₹5712 Crore GST Tax Demand, Plans Legal Challenge

Indian Traders Hopeful For Good Business On Akshaya Tritiya: CAIT

Indian Traders Hopeful For Good Business On Akshaya Tritiya: CAIT