Goa's Kamdhenu dairy scheme stalled for 8 months over an insurance tie-up, causing major financial losses and loan burdens for over 50 local farmers.
Confusion among Goa Dairy farmers

Kamdhenu Scheme Stalls for Eight Months Over Insurance Tie-Up Delay, Leaving 60 Producers Stranded with Debts.

More than 50 dairy farmers across Goa have been plunged into significant financial distress for the past eight months due due to the suspension of the State government’s Kamdhenu Scheme. This critical dairy-boosting initiative, which provides cattle in batches along with government subsidies and insurance, has been entirely stalled since February 2025 because of an administrative bottleneck concerning the necessary insurance tie-up. This failure to finalize the insurance process has prevented the release of new cattle, leaving countless projects incomplete and farmers struggling mid-way through their investments.

The suspension has translated directly into severe financial losses and mounting debt across the local dairy community. Farmer Inacio Fernandes from Sanguem highlighted the most pressing issue: many producers had taken out loans, both from banks and private lenders, but are now paying EMIs without generating any income. This desperate situation has forced some farmers to take out new loans just to cover the payments on existing debt, making the financial strain “unbearable” as the dairy operations remain non-viable without the subsidized cattle.

Beyond loan obligations, farmers who proactively invested in infrastructure are now dealing with wasted resources. Prasad Velip from Canacona reported preparing several hectares of land for green fodder in anticipation of receiving their second batch of five cows in February, only to have the prepared feed go to waste. This widespread issue, affecting an estimated 50 to 60 dairy farmers across the state, demonstrates how the administrative delay is undermining on-farm efficiency and increasing overall operational costs for local milk producers.

Despite the financial pressure, farmers report that their repeated appeals to various government offices, from the Minister’s office to the Secretariat, have yielded no result. Pracaxa Gaokar from Rivona stated that the failure to sanction the second batch has worsened their ability to care for their existing herd, making “feeding even the existing cows difficult.” Affected farmers argue that such pervasive bureaucratic delays and failures to manage a simple process like insurance approval directly contradict the Chief Minister’s calls to encourage youth participation in agriculture and dairy farming.

When confronted about the crisis, Nitin Naik, Director of Animal Husbandry and Veterinary Services (AHVS), finally confirmed that the delay stemmed from “administrative reasons” linked to the insurance process. Promising a swift resolution, Naik assured that the final approval would be granted soon, allowing farmers’ files to be processed immediately. However, Goa dairy farmers remain anxiously waiting for their long-pending files to move, hoping for immediate respite from the growing financial pressure created by the eight-month-long bureaucratic paralysis.

Source: Find the complete report on the Kamdhenu scheme’s stalling from The Herald Goa.

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