In a recent development, Nandini, a renowned dairy brand based in Karnataka, has decided to postpone its expansion plans in the southern state of Kerala. Although the company had recently opened a few outlets in Kerala, it has now chosen to put its further expansion in the state on hold.
According to J Chinchurani, the Minister for Animal Husbandry, Dairy Development, and Milk Cooperatives in Kerala, she has been officially notified by the CEO of Karnataka Milk Federation (KMF), known by the trade name Nandini, about the decision to temporarily halt the expansion plans in Kerala.
“Information has been received from the CEO that Nandini will not open new outlets in the state for the time being,” the minister told reporters.
Welcoming the KMF’s decision, Chinchurani said this shift has come in the wake of change of government in Karnataka following the victory of the Congress.
She also said the state wanted the milk and milk products of the Kerala Cooperative Milk Marketing Federation’s (KCMMF) Milma.
The CPI (M)-led LDF government in Kerala had recently expressed concern over the entry into the state of milk and dairy products from Karnataka’s Nandini.
To address the matter, the Kerala government had lodged a formal complaint with the National Dairy Development Board (NDDB) seeking a resolution.
Earlier, Chinchurani had emphasized that both Nandini and Milma were government-supported organizations. Consequently, she stated that obtaining permission from the respective state was necessary when venturing into another state’s territory.
In April this year, KCMMF termed as “unethical” the tendency of some state milk marketing federations to aggressively enter markets outside their respective states.
It was criticising the KMF’s move to open its outlets in parts of Kerala to sell its Nandini brand of milk and other products.
Milma, back then, had said this involved a total breach of the cooperative spirit based on which the country’s dairy sector has been organised for the benefit of millions of dairy farmers.
Such practices from any side will jeopardise the spirit of cooperative principles that have been nurtured for a long time by mutual consent and goodwill, it had said.
