NZ link to big Indian milk proposal
Market watch top headlines
Australian reports
- Aust markets: Aussie markets receive positive leads
- Aust dollar report: $A opens higher on firm US data
- Aust credit close: Bonds weaker after rebound
World reports
- World commodities: Oil prices climb higher
- World markets: Stocks rise on positive economic data
WELLINGTON, July 27 NZPA
July 27 2010, 4:27PM
A New Zealand company is reportedly in the running for a joint venture setting up dairy farms in India - the world's biggest milk producer - with the Indian Farmers Fertiliser Cooperative (Iffco).
The Indian company is close to setting up a dairy project jointly with an overseas partner, either an American or New Zealand company, the Economic Times reported.
The foreign firm would be an equity partner in the project that would require an investment of 10 billion rupees ($A236.6 million), according to Iffco managing director US Awasthi.
"We will begin with 6000 high-breed cattle stocks and a processing capacity of one million litres of milk a day," he said.
India produces 108 million tonnes of milk a year - most of it consumed in the domestic market - and the demand for milk is projected to rise to 180 million tonnes by 2021.
The country's National Dairy Development Board (NDDB) has chalked out a 15-year National Dairy Plan (NDP) requiring investment of 17 billion rupees to lift bovine productivity and milk production.
Iffco is developing a special economic zone at Nellore in Andhra Pradesh, for 1,000 hectares of agricultural production, including dairying, with farmers owning part of the equity in the projects and co-operatives distributing the products.
A spokeswoman for Fonterra, which until recently had a joint dairy venture in India with biscuit company Britainia, said it was not involved in the Iffco project.
