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AMUL vs NANDINI: Karnataka farmers’ fears on adverse impact of takeover by Amul now playing out in Andhra Pradesh

Lakshmana Venkat Kuchi Once upon a time ago, the Atal Behari Vajpayee government in 1998 was brought to tears, and brought down, by the humble onion, whose prices had gone through the roof. Vajpayee government’s apparent failure to contain onion prices, perhaps due to its inexperience and inability to make timely onion imports, the opposition […]

Edited By : Lakshmana | Updated: Apr 30, 2023 18:06 IST
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Lakshmana Venkat Kuchi

Once upon a time ago, the Atal Behari Vajpayee government in 1998 was brought to tears, and brought down, by the humble onion, whose prices had gone through the roof. Vajpayee government’s apparent failure to contain onion prices, perhaps due to its inexperience and inability to make timely onion imports, the opposition Congress effectively used it to corner the regime.

If that political crisis brought about by onions was due to the vagaries of weather, and partly due to inefficiency in handling the onion crisis, the current BJP-led Karnataka government brought upon itself a milk crisis and a controversy that is haunting it in the ongoing assembly elections.

In Karnataka, an alert Congress mounted an aggressive campaign on milk, or rather a milk business controversy, and pushed the Basavaraj Bommai government on the back foot.

Notwithstanding denials from the powers that be, the Amul brand owners and operators, and also the Karnataka and central governments that there was no move for Amul to takeover local Karnataka brand Nandini, the milk war gained traction with lakhs of farmers, who supply milk to the Karnataka milk cooperative, feared livelihood losses if there indeed was a takeover by the Gujarat Milk cooperative that owns Amul brand.

And then there is Kannadiga pride as well, which the Congress effectively used as a campaign theme. Quickly jumping onto the bandwagon was Janata Dal (Secular) HD Kumaraswamy who too promised to do everything to protect Nandini from any predatory move of the Gujarat-based Amul brand.

In fact, former CM S Siddaramaiah went on to ask people to boycott Amul products, and in fact, some hotels and restaurants declared they would not purchase Amul products.

The BJP and Karnataka government denied all accusations on the issue and said that they will protect Nandini and ensure it was safe. But, given the experience of farmers in the neighbouring Andhra Pradesh, farmers in Karnataka are apprehensive that they would also be at a loss if Amul was given a free run.

Incidentally, developments within Andhra Pradesh today seem to lend credence to the fears and apprehensions of the Karnataka people.

Farmers associations in Andhra Pradesh are now agitating in Andhra Pradesh, seeking the ouster of Amul which was directly affecting the well-being of local cooperative milk bodies. Farmers’ groups alleged that the government was using its own money to procure milk and supply to Amul and also allege that the Chief Minister allowed Amul operations at the cost of the local ones.

Former state minister Vadde Sobhaneswara Rao told a Round Table conference at Vijayawada Thursday that no farmers in the state were getting benefits from Amul operations. He also alleged that properties of local cooperative dairies were being given away to Amul.

The former minister also cited the example of Karnataka, where the government had to suspend its milk operations with Amul after there was a hue and cry.

Besides, the opposition raked it up as a huge polls issue, forcing the Basavaraj Bommai to beat a hasty retreat. Amul too came out with a statement suspending its move to expand its milk business in the state. Amul had wanted to enter the milk procurement and sales business in Karnataka which the local farmers and traders opposed. Quickly sensing an opportunity, the opposition led by the Congress cleverly turned this simple business move into a high-potential poll issue weaving in Kannadiga pride into the whole campaign.

Incidentally, Amul’s decision to enter the milk business in Karnataka is part of its Southward Push, forcing the locally popular cooperative brands —Karnataka’s Nandini, Kerala’s Milma and Tamil Nadu’s Aavin, among others— to come out with moves to counter the predatory advance of Amul.

First published on: Apr 30, 2023 06:06 PM IST

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