DDC, NACCFL, SKBBL sign MoU to boost milk supply, support smallholder dairy farmers

KATHMANDU: Dairy Development Corporation (DDC), Nepal Agricultural Cooperative Central Federation (NACCFL) and Sana Kisan Bikas LaghuBitta Bittiya Sanstha (SKBBL) have signed a tripartite memorandum of understanding (MoU) to expand milk supply, promote commercial dairy farming and improve the livelihoods of smallholder dairy farmers.

The MoU, signed at the DDC office in Lainchaur on Wednesday commits cooperatives working with NACCFL and SKBBL and their member farmers to supply an additional 15,000 litres of milk a day to DDC from August 17. The partners aim to increase supplies to more than 60,000 litres a day within the current fiscal year; NACCFL network cooperatives already produce over 50,000 litres daily.

The agreement covers milk collection and marketing and wider development of dairy farming and the livestock value chain. DDC has pledged to clear outstanding payments for milk procured via NACCFL networks within one month. The MoU also provides for milk transportation and training and capacity‑building programmes to improve livestock management and technical and commercial skills.

Dr Sharan Kumar Pandey, General Manager of DDC, said the deal will be a milestone for Nepal’s dairy sector and pledged regular, timely payments to farmers, adding that collective effort was essential to raise producers’ economic and social well‑being.

Khem Bahadur Pathak, Chairperson of SKBBL, said the agreement would raise farmers’ incomes, expand production and strengthen smallholders’ self‑reliance.

Eka Raj Upreti, Chairperson of NACCFL, called the pact a historic development for dairy farmers. “Initially, an additional 15,000 litres of milk a day will be supplied to DDC, with the objective of increasing the total supply to more than 60,000 litres a day within this fiscal year,” he said.

The MoU was signed by Dr Sharan Kumar Pandey (DDC), Dr Rudra Bahadur Shrestha (NACCFL) and Basu Adhikari (SKBBL), and was attended by senior officials from the three institutions.