The Government of India has increased the export subsidy benefit on milk & milk products from 10% to 20% as part of its efforts to spur exports and bring down the trade deficit.
The move was made in the context of weakness in the Indian rupees, which has been blamed on the poor balance of trade that India enjoys with the rest of the world.
The subsidy will be available till January 2019 on export of milk and milk products.
“This is a positive move by the GoI (government of India) as it will help Indian dairy products become more competitive in global markets which will benefit the overall Indian dairy industry through a boost in the moral of Indian farmers,” Parag Milk Foods said.
“This subsidy will also help increase our export opportunities in both the existing markets we operate in as well as new geographies through the wide range of dairy products that we offer.”
Parag Milk Foods exports items, such as cheese, to countries such as Russia.
It is the largest private dairy FMCG Company with a pan-India presence.
It sells products like ghee, dahi, paneer etc. under its ‘Gowardhan’ brand, and items like cheese, UHT milk, chaas, lassi, yoghurt etc. under its ‘Go’ brand.
The Company recently entered the dairy based beverage market with the launch of “Topp Up” and “Slurp”, and launched Whey Protein with the brand Avvatar.