The Dairy Development Department was established in 1958 in Tamilnadu. The administrative and statutory control over all the milk cooperatives in the State were transferred to the Dairy Development Department on 1.8.1965. The Commissioner for Milk Production and Dairy Development was made as the functional Registrar under the Tamilnadu Cooperative Societies Act. With the adoption of 'Anand pattern' in the State of Tamilnadu, Tamilnadu Co-operative Milk Producers' Federation Limited was registered in the State on 1st February 1981. The commercial activities of the Department such as Milk Procurement, Processing, Chilling, packing and sale of milk to the consumers etc., hitherto dealt with by the Tamilnadu Dairy Development Corporation Ltd., were transferred to the newly registered Tamilnadu Co-operative Milk Producers' Federation Limited, popularly known as "Aavin".

In the wake of liberalization policy, private dairies have also entered into the field of dairying. As per the directions of the Hon'ble Chief Minister of Tamilnadu high priority has been given for improving the performance of milk Co-operatives by adopting a systematic approach and proper strategy in Milk Co-operatives. Significant achievement has been made by Milk Producers' Cooperative Societies, Unions and Federation in the State of Tamilnadu.

The cattle population in India is approximately 15% of total cattle population in the world. India stood no. 1 position in milk production. Tamilnadu is one of the leading state in milk production. The milk production in Tamilnadu per day is 145.88 Lakh litres.


(1) To work towards bringing the un-organized dairy sector into an organized structure.

(2) To supervice and regulate the activities of dairy Co-operatives.

(3) To pay remunerative price to the milk producers based on the quality of milk and provide veterinary inputs and health care to increase the milk yield of milch animals.

(4) To organize dairy co-operative societies in the remote villages to safeguard the milk producers from the exploitation of the private traders.

(5) To ensure consistent growth of dairying on par with other enterprises.

(6) To ensure availability of cattle feed and green fodder to milch animals even in drought season.

(7) To develop infrastructure for storage, processing and selling of milk to handle surplus milk.

(8) To ensure availability of quality milk to the consumers at reasonable rates.

(9) To introduce modern technology in various dairy activities.

(10) To ensure availability of milk and milk products as per prescribed quality specifications.

(11) Distribution of quality milk and milk products to the consumers at reasonable price.

Keeping these objectives in mind, a number of activities are undertaken by the Dairy Development Department, viz., Provision of free veterinary health cover to all animals owned by the members of milk cooperatives, implementation of Artificial Insemination Programme, supply of balanced cattle feed and inculcation of farmers with the modern animal husbandry methods and practices.

All activities, which are essential for the up gradation of the milch animals and improving their productivity in the long run, have been undertaken.

Provision of necessary infrastructure facilities for marketing milk and milk products and supply of quality milk to the consumer has been made by way of establishing new chilling centres, pasteurization plants and adoption of modern processing system.


To achieve the objectives of the Dairy Development Department the following activities are being undertaken:

(1) Hygienic and pure milk and milk products are made available to the consumers.

(2) Computerization of dairy activities to ensure transparency in administration.

(3) Providing free veterinary health cover, Artificial Insemination service to cattle, insurance of cattle, supply of balanced cattle feed, inputs like fodder seeds and cuttings for fodder cultivation to milk producers in co-operative sector.

(4) Strengthening of clean milk production at village level through necessary education and milk testing.

(5) Implementation of various State and Central Government Schemes.

(6) Strengthening and increasing the handling capacity of Dairies functioning in Dairy Co-operative sector.

(7) Opening of new parlours, sales points, new milk routes, consumer societies and sale of milk cards.


The Commissioner for Milk Production and Dairy Development is the Head of the Dairy Development Department. He is the functional registrar in respect of Dairy Co-operatives in the State. He is also the Ex-officio Managing Director of the Tamilnadu Cooperative Milk Producers' Federation Limited. i.e. Aavin.

The Commissioner for Milk Production and Dairy Development exercises all the statutory powers with regard to the registration of societies, supervision, inspection, inquiry, disputes, liquidation of milk cooperatives including the District Cooperative Milk Producers' Unions and Federation under the relevant provisions of the Tamilnadu Cooperative Societies Act, 1983 and Tamilnadu Cooperative Societies Rules, 1988. While discharging the statutory functions, the Commissioner for Milk Production and Dairy Development is assisted by the Deputy Milk Commissioner (Co-operation) and a Deputy Registrar at the Headquarters besides 29 Deputy Registrars (Dairying) at the District level by way of conferring the powers of the functional Registrar.


The main functions of the Dairy Development Department include Organisation of societies, registration of societies, supervision and control of primary milk cooperatives, District Cooperative Milk Producers Unions and Tamilnadu Cooperative Milk Producers Federation.

The Dairy Development Department exercises statutory function - like Inquiry, Inspection, Surcharge and Super session, appointment of special officers, liquidation and winding up of dormant Societies etc. The Commissioner for Milk Production and Dairy Development, Deputy Milk Commissioner (Co-operation), and Circle Deputy Registrars (Dairying) are vested with quasi-Judicial powers in respect of settlement of disputes, appeal, revision and review under various provisions of Tamilnadu Cooperative Societies Act, 1983 & the Tamilnadu Cooperative societies Rules, 1988 made there under.


A minimum of 25 or more individuals competent to contract under section 11 of the Indian Contract Act of 1872, owning milch animals, can form a Primary Dairy Cooperative Society, with one or more villages as its area of operation. Such persons have to approach the Circle Deputy Registrar's (Dairying) office functioning at the District for further guidance. The members of Primary Cooperative milk society have to supply milk to the Society which will procure milk on quality basis and they will receive milk cost once in 10 days / 15 days from the Society. Milch animals are provided with free veterinary health cover, artificial insemination and the supply of balanced cattle feed. Inductions of farmers on modern animal husbandry practices are aimed at by upgrading the milch animals and thereby improving their productivity in the long run for the benefit of the members.


In order to encourage the women members to contribute more to the dairy sector, they are being called upon to organise women milk producers' cooperative societies in their respective areas. There are 1793 women milk Producers’ cooperative societies functioning in Tamilnadu.


Primary Milk Cooperative Societies and District cooperative Milk Producers Unions and Federation were administered by elected Boards. The CMPDD is functioning as District Election Officers for the dairy co-operatives. Under the supervision of the State Cooperative Election Commission elections were conducted for the Board of Directors of dairy cooperatives at all the three levels in 2013 and elected boards assumed charge on 09.05.2013 at primary levels, on 11.06.2013 at district level and on 17.07.2013 in the State Federation. On formation of new societies, elections are conducted within a period of six months. Democratic spirit of cooperative movement can be seen from the fact that 1,09,891 board of directors, of which 35,592 are women, are involved in the administration of dairy cooperatives across the state.


There are 17 District Cooperative Milk Producers' Unions functioning in the State of Tamilnadu covering 30 Districts. There are 18 Dairies in District Co-operative Milk Producers' Unions with an installed processing capacity of 27.07 llpd. There are 35 Chilling Centres (Functional) in District Co-operative Milk Producers' Unions with installed chilling capacities of 14.75 LLPD.

(1) Establishment of chilling centres

(2) Formation of new milk routes to collect milk produced by the members of the societies.

(3) Collection of milk from societies, process and pack in modern dairy plants by maintaining quality standards.

(4) Supply of quality milk to Chennai Metro under hygienic conditions.

(5) Fixation of procurement and selling price of Milk

(6) Increase of liquid milk sales by introducing innovative sales promotional activities.

(7) Supply of inputs to the members of the societies.

(8) Render Veterinary Health Service and emergency service to the cattle of members of primaries, to impart training on First aid and on Artificial insemination to the staff of member societies.

(9) Extending Artificial insemination services to the cattle owned by the members of Milk Cooperative Societies.

(10) Providing milk cans, Milk Analyser and LN2 containers.

(11) Salem, Erode, Madurai and Dharmapuri Unions are the Feeder Balancing Dairies. Surplus milk in the District Unions, after meeting their local sales is diverted to the nearest Feeder Balancing Dairies for conversion into milk products, such as Skim Milk Powder, Butter and Ghee.

(12) The three Cattle Feed Plants at Madhavaram, Erode and Kappalur are run by the Kancheepuram - Tiruvallur Union, Erode Union, Madurai Union respectively. The production capacity of these cattle feed plants is 100 MT per day each. The balanced cattle feed produced in the form of pellets and mash are supplied to the members of the Milk Co-operatives, livestock farms manned by the Animal Husbandry Department and to various local bodies including the Corporation of Chennai.


The Tamilnadu Co-operative Milk Producers' Federation Limited is an apex body of 17 District Cooperative Milk Producers' Unions. The Federation has four dairy plants in Chennai, one at Ambattur with a capacity of 4.00 lakh litres per day, another at Madhavaram with a capacity of 3.50 lakh litres per day and the third dairy at Sholinganallur with a capacity of 4.00 lakh litres per day. These dairies collect milk from District Unions process and pack in sachets and send for sale to the consumers in and around Chennai City. The fourth product dairy at Ambattur with a capacity of 65,000 LPD is engaged in the manufacture of milk products such as Yogurt, ice cream, Khova, Kulab jamoon, Buttermilk, Curd and Mysore pa. Apart from the above, a fifty DCPP has been established at Tiruvannamalai with a capacity of 2 LLPD and 20 MT since 2015.


Most of the rural people especially women make their livelihood by rearing milch animals and by supplying milk to the Co-operatives. Keeping this in view and to improve the rural economy and to enhance the personal income of the stake holders in rural area, Government of Tamilnadu directed the Tamilnadu Co-operative Milk Producers’ Federation and District Co-operative Milk Producers’ Union to raise the procurement price of the cow's milk from Rs.23.00 to Rs.28.00 per litre and that of the buffalo’s milk from Rs.31.00 to Rs.35.00 with effect from 01.11.2014 and the milk cost as per the revised procurement price is being disbursed to the Milk producers.  

Average milk procurement in DCMPUs in lakh litres per day.

Year 2005-2006


Year 2006-2007


Year 2007-2008


Year 2008-2009


Year 2009-2010


Year 2010-2011


Year 2011-2012 21.40
Year 2012-2013 24.36
Year 2013-2014  23.22
Year 2014-2015  23.68
Year 2015-2016 28.97
Year 2016-2017  28.50


The three wings are carrying out the marketing of milk and milk products of the Federation namely:

1. Metro Liquid milk marketing.
2. Metro Milk Product marketing.
3. Up country marketing.

The product wing of the Federation located at Nandanam directly carries of marketing of the products in Chennai Metro and suburbs. The products are stored at the Godown at Ambattur and distributed to the outlets.

The sale of milk in sachets is being carried out through 16 zones, 292 Federation Depots, 184 Fedn. Distribution Points, 38 Whole Sale Milk Distributors, 89 Milk Retailers and 49 Milk Consumers’ Co-operative Societies and their depots numbering 221 and 142 distribution points. The sale of milk product is being carried out through 25 parlours, 145 Franchise Retail Outlets (FROs), 11 Wholesale dealers, and 2824 Retailers. The Federation also caters to the needs for functions like marriages by booking Special Orders.


Presently Strengthening Infrastructure for Quality and Clean Milk Production (SIQ&CMP) in Erode, IDDP in Thanjavur,and ACS in Thanjavur and Kancheepuram – Tiruvallur which were sanctioned prior to 2014 -15 are being continued under NPDD.

1. Strengthening  Infrastructure for Quality and  Clean Milk Production (SIQ&CMP)

This scheme is being implemented in Erode. Out of Rs.499.94 Lakh, so far Rs.327.91 Lakh has been released. The balance amount of Rs.172.03 Lakh is awaited. All major components like BMC installation, supply of chemicals, utensils, milking machines and strengthening of laboratories, etc.have been completed.

2. Assistance to Cooperatives (ACS)

It is being implemented in Kancheepuram – Tiruvallur Union and Thanjavur Unions. The scheme supports the payment of dues to milk producers, settlement of gratuity dues to employees and payment due to other Unions. The entire fund for Kancheepuram – Tiruvallur Union has been received while the final fund of Rs.62.07 Lakhfor Thanjavur Union is awaited from Govt. of India.The state share of Rs.98.86 Lakh forKancheepuram – Tiruvallur Union and Rs.62.07 Lakh for Thanjavur Union is also awaited.

3. IDDP Scheme

Thanjavur, Pudukottai and Virudhunagar Unions have received their total final installment of Rs 262.08 Lakh towards improving milk procurement, infrastructure for milk processing & marketing and development of human resources.

Continued to next page click here

                                                                                 | Home | Back | Next |

       | Milk Price | Recipes
  | Unions | Biz | Dairies |
                  | Feedback |
  | Complaints | Customer service
             | EPF Login| RTI|
             | Citizen Charter |