Opposition TDP targets Jagan govt over Amul dairy set up in Chittoor

Amul’s marketing plan for South India seems to have run into rough weather once again after the Opposition TDP in Andhra Pradesh accused the ruling YSRCP government of surrendering the state’s dairies to Gujarat-based companies.

The revival of the Chittoor Cooperative Dairy by YSR Congress Party (YSRCP) government led by Chief Minister Jagan Mohan Reddy and the proposed investment by Amul Dairy has sparked a political row in Andhra Pradesh with the opposition Telugu Desam Party (TDP) lashing out at the government for hitting the Telugu pride by surrendering the cooperative to Amul in the name of revival.

The TDP questioned the Jagan Mohan Reddy-led government over allowing Amul to enter Andhra Pradesh when all other southern states had refused to allow the Gujarat-based dairy cooperative.On Tuesday, 4 July, Chief Minister YS Jagan Mohan Reddy had laid the foundation stone to mark the revival of the Chittoor Cooperative Dairy and signed a memorandum of understanding (MoU) with representatives of the Gujarat Cooperative Milk Marketing Federation (GCMMF), the makers of Amul.

Amul’s plan to expand its footprint in South India suffered a backlash in Karnataka and Tamil Nadu as the two states feared the entry of the dairy major would be detrimental to the local milk marketing cooperatives as well as their strong local brands, Nandhini and Aavin, respectively.While the Chief Minister alleged that his predecessor N.Chandrababu Naidu closed down the Chittoor Dairy to benefit his family-run company Heritage, the main opposition party has accused him of surrendering to the Gujarat-based Amul.During his padyatra ahead of the 2019 elections, Jagan Mohan Reddy had promised milk farmers to revive the sick unit.

As part of this move, the state government entered into a MoU with Amul, which will invest up to Rs 385 crore to set up an ice-cream plant and produce and market various dairy products.Jagan Mohan Reddy came down heavily on Chandrababu Naidu stating that the former Chief Minister had "orchestrated the destruction" of the Chittoor Dairy and finally closed it down in August 2002 to develop his family-owned Heritage.

However, the Opposition TDP has another story to narrate about handing over the Chittoor Dairy to Amul.“Jagan, who had promised to revive the cooperative dairies, including the Chittoor Dairy, soon after coming to power, changed tack and undermined the whole system.

Gujarat-based Amul has been invited to the state only to weaken the cooperative dairies,” TDP state unit chief K Atchen Naidu said.He added that the state government is betraying the dairy farmers, and pointed out that public properties worth ₹6,000 crore have already been conceded to Amul.