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SIKKIM CO-OPERATIVE MILK PRODUCERS’ UNION Ltd.

The Sikkim Cooperative Milk Producers Union Ltd. was formed in the year 1980 and registered under the Sikkim State Cooperative Societies Act, 1978. It is an apex body of the primary milk producers’ cooperative societies formed at the village level on Anand Model Milk Cooperatives. Its area of operation extends the whole of Sikkim expect North District. Two Milk processing plants one each at Tadong, Gangtok and other at Karfectar, Jorethang having processing capacities of 10,000 and 5,000 litres per day respectively were setup with financial assistance of Rs. 1.63 crores from Government of India under Centrally Sponsored scheme executed by NDDB. A further sum of Rs. 65.66 lakhs was received under Operation Flood II. Later in the year 1991, a chilling plant was installed at Gyalshing in the west district for collection of milk of far and remote areas of the district. The Board of Directors consists of 12 members of whom six are elected members and the rest being nominated by the State Government.

In the year 1979-80, Govt. of India launched Operation Flood-I (OF-I) programme through National Dairy Development Board (NDDB) to promote milk marketing and dairy activities on Anand Cooperative Model. This scheme was extended to Sikkim under OF-II in1982, which gave birth to primary milk producers’ cooperatives and their federal body - the Sikkim Cooperative Milk Producers Union Ltd.

The major objectives of the Union is to provide a ready market and remunerative price for poor and marginal milk producers in the far flung remote villages of the State and make hygienic milk available to the urban consumer at reasonable rates and in the process stabilize civilian consumer milk price.

Table below shows share capital, membership, working capital, financial position etc of SMU Ltd.

Sl. No  Particulars Units 2002-03 2003-04 2004-05 2005-06 2006-07 1. Institutional Membership No 114 114 114 114 114 2. Number of branch “ 1 1 1 1 1 3. Total Paid up Share Capital Rs in lakhs 3.52 3.52 3.54 3.54 3.54 (i) Of which  State Govt. “ - - - -   4. General Reserves “ 57.41 57.41 57.41 57.41 57.41 5. Working Capital “ 60.94 60.95 60.95 60.95 6-.95 6. Business turnover i) Sales of Milk “ 471.94 438.72 328.89 433.24 533.49 ii) Sale of by products   “ 18.59 28.24 15.35 34.57 50.09 7. Profit/Loss “ 44.09(NL) 87.00(NL) 36.17(NL) 37.80(NL) 65.62(NL)

GRAPH SHOWING THE BUSINESS TURNOVER OF SIKKIM MILK UNION LTD.