Department of Animal Husbandry & Dairying (DAHD) is implementing “National Programme for Dairy Development (NPDD)”scheme across the country since Feb-2014.
The scheme has been restructured/ realigned in July 2021 for implementation from 2021-22 to 2025-26 with the following two components:
(i) The Component ”A” of NPDD focuses on creating/strengthening of infrastructure for quality milk testing equipment as well as primary chilling facilities for State Cooperative Dairy Federations/ District Cooperative Milk Producers’ Union/SHGs/Milk Producer Companies/Farmer Producer Organizations.
(ii) The Component ‘B’ of the NPDD scheme “Dairying through Cooperatives” aims to increase sale of milk and dairy products by increasing farmer’s access to organized market, upgrading dairy processing facilities and marketing infrastructure and enhancing the capacity of producer owned institutions.
Under Component A of NPDD scheme, 110 projects have been approved across the country including Tamil Nadu with the total outlay of Rs.2247.46 crore. (including Central Share of Rs.1658.29 crore) and under Component B of NPDD scheme, 22 projects have been approved with a total project cost of Rs.1130.62 crore (including Loan amount of Rs.705.53 crore, Grant of Rs.329.70 crore & participating institution (PI) contribution of Rs.93.38 crore) during last five years (2019-20 to 2023-24). Out of the total 132 projects approved under the scheme, 52 have been completed. In Tamilnadu, 4 projects have been approved with the total outlay of Rs.177.61 crore. (including Central Share of Rs.133.42 crore) during last five years (2019-20 to 2023-24). Out of these 4 projects, 2 have been completed under NPDD scheme.
Dairy Plant Capacity of 1.82 Lakh litre per day (LLPD) has been enhanced under NPDD scheme during last three year (2021-22 to 2023-24). In addition, TCMPFL has informed that milk processing plant and value added product capacity created other than NPDD scheme in the State of Tamil Nadu is as under:
| Sr. No. | Scheme/Funding | Activity created |
| 1. | Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) | Milk processing plant of capacity 2.00 lakh litre per day |
| 2. | National Agriculture Development Programme (NADP). | Paneer Plant of capacity 2000 Kilogram per day at Coimbatore |
| 3 | TCMPFL Fund | Ice Cream Plant of capacity 30,000 litre per day at Coimbatore at Madurai |
| 4. | National Bank for Agriculture and Rural Development (NABARD) | Production capacity of Butter, Ghee & Paneer with capacity of 5000 Kilogram per day, 2000 litre per day & 1000 Kilogram per day respectively at Virudhunagar District Milk Union. |
| 5. | Milk Union Fund | Curd plant of capacity 10,000 Litre per day Kanchipuram-Tiruvallur District Milk Union |
Under Comp B of NPDD, Japan International Cooperation Agency (JICA) assisted programme, loan has been provided with subsidized rate of interest @1.50% for the eligible institutions for creations of dairy infrastructure in the interest of farmers and cooperative societies.
This information was given by Union Minister of State, Ministry of Fisheries, Animal Husbandry and Dairying, Prof. S.P. Singh Baghel, in a written reply in Rajya Sabha on 19th March, 2025.
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