Wed, Dec 7, 2016 | updated 11:44 PM IST

Amul milk producers make necessary arrangements for cashless transactions

Updated: Nov 22, 2016 12:25 IST

New Delhi [India], Nov 22 (ANI): Chairman, GCMMF (AMUL) Jethabhai Patel has announced that in view of the demonetization of currency notes by Central Government, the company has made necessary arrangement to pay milk producer members for their milk price through direct credit in their bank account.

He further informed that 60 percent of milk producers already have bank accounts, but, due to some vested interests, the payment was made in cash.

"We are in the process of opening of the bank account for milk producers who do not have their bank account. There has been a constant stress for the need to go for cashless transactions for the last couple of years," said Jethabhai Patel.

He also informed that GCMMF (AMUL) and its 18 associated milk unions are paying around Rs. 450 crore on weekly basis to 36 lakh milk producers through 18,500 milk cooperatives in Gujarat.

He has also informed that due to demonetization of currency notes and restriction by RBI on District Cooperative Banks, rural milk producers are facing shortage of cash.

However, Central and State Governments have made alternative arrangement with the help of RBI for cash disbursement through District Cooperative Banks to milk producers to protect their interest which will definitely help milk producers to meet their daily expenses related to animal husbandry and other requirements.

Jethabhai Patel has also emphasized that till date, there has been no impact of demonetization of currency notes on milk procurement and sale of milk in the market. In fact, milk procurement of member unions of GCMMF has increased. (ANI)