CHITWAN, Jan 27: With milk prices increasing in India, Nepali farmers are now finding better markets for their produce. Earlier, Indian milk, being cheaper, was imported into Nepal in large quantities, often affecting local production.
In previous years, illegal milk imports from India during this season forced Nepali producers either to struggle with sales or process the surplus themselves. This year, however, higher milk prices in India have made Nepali milk competitive, allowing local farmers to sell their products across the border.
Ambar Bahadur Kunwar, president of the Central Dairy Cooperative Association, said that milk prices in India are only 46 paisa higher than in Nepal. This small difference, combined with transportation costs, has discouraged illegal imports from India this year.
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“Since Indian milk becomes more expensive with transport, it hasn’t entered the Nepali market. Some milk has gone secretly to Indian border markets such as Patna,” he said. Kunwar added that delayed payments in previous years had reduced farmers’ interest in livestock, leading to lower production.
Although exact figures for this season are not yet available, Kunwar estimated daily milk production in Nepal at around 4.5 million liters, a slight decrease of approximately 100,000 liters compared to last year.
Kishor Bagale, president of the Chitwan District Dairy Producers Cooperative, said that with less Indian milk coming in, locally produced milk is now finding a proper market. He noted that milk consumption is generally lower in the winter months of Mangsir, Poush, and Magh, especially for products like yogurt and ice cream, which makes managing production challenging.
“Since Indian milk hasn’t arrived this year, it has helped us stabilize the local market,” Bagale said. He recalled that in previous years, the cooperative had to declare milk holidays, but this year, all produced milk is being sold.
Durga Prasad Parajuli, Manager at Chitwan Milk, said that in past years, milk containers had to line up on the roads for up to three days, but this year, such delays haven’t occurred. Whereas last year, daily milk intake was around 200,000 liters, this year it is roughly 70,000 liters.
Chitwan Milk’s processing capacity is 150,000 liters per day. The facility, located in Thimura, Bharatpur, was once shut down due to losses but now receives milk from cooperatives and dairies that pay processing fees. Parajuli noted that seasonal milk arrivals vary, with around 400,000 liters in Bhadra–Ashoj (mid-August to mid-October), 1 million in Kartik (mid-October to mid-November), 1.5 million in Mangsir (mid-December to mid-January), and 2 million in Poush (mid-January to mid-February), which is lower than last year.
This shift has provided Nepali farmers with more predictable markets and reduced dependency on India for sales.