Friday, March 20th, 2026

Milk subsidy introduced as production incentive for farmers



SYANGJA: The Veterinary Hospital and Livestock Service Expert Center in Syangja has provided a subsidy of Rs. 5 per liter to local groups and cooperatives that meet specific milk production criteria.

Under this production-based incentive program, cooperatives collecting at least 200 liters of milk daily for 200 days a year were eligible for support.

According to Rupesh Shrestha, Chief of the Veterinary and Livestock Service Expert Center, Rs. 1 million was distributed as an incentive for 200,000 liters of milk produced in the fiscal year 2024/25.

To distribute the subsidy, the office had invited applications from eligible groups and cooperatives. Out of the three applicants, two cooperatives met the criteria and received the incentive funds.

The selected cooperatives were the Bhirkot Dairy Production Cooperative from Bhirkot Municipality and the Andhikhola Agricultural Enterprise Cooperative from Andhikhola Rural Municipality.

“We distributed the incentive in two phases,” said Chief Shrestha. “We have found that production-based incentives are more effective than traditional subsidies or other forms of support.”

The Bhirkot Dairy Production Cooperative received a total of Rs. 650,650 for producing 130,130 liters of milk. Similarly, the Andhikhola Agricultural Enterprise Cooperative collected 69,720 liters of milk and received Rs. 348,600 in incentives, at the rate of Rs. 5 per liter.

The total subsidy disbursed to the two cooperatives amounted to Rs. 999,250.

According to the office, milk production has increased due to this incentive scheme, and the program will continue. In addition to the subsidy, the office has also been providing grants to farmers for farm improvements, new shed construction, and equipment purchases, including milk analyzers.

Publish Date : 18 July 2025 21:29 PM

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