Bemul Reports ₹12.5 Crore Profit, Announces Mega Dairy Project and Expanded Farmer Welfare Schemes
The Belagavi District Co-operative Milk Producers Societies Union (Bemul) has recorded a profit of over ₹12.5 crore in the current financial year, highlighting the continued strength of Karnataka’s cooperative dairy sector.
Speaking at the union’s annual general meeting, former Karnataka Milk Federation (KMF) President Balachandra Jarkiholi announced that approximately ₹13 crore has been earmarked for farmer welfare initiatives, reinforcing Bemul’s commitment to supporting milk producers across the region.
Record Milk Procurement Reflects Sector Growth
Bemul also achieved its highest-ever milk procurement levels during the year, indicating increasing farmer participation and sustained growth in dairy activities across Belagavi district.
The union has now remained profitable for two consecutive years, following profits of around ₹13 crore in the previous financial year and ₹12.5 crore this year.
According to Jarkiholi, the cooperative intends to channel these earnings back into farmer welfare and infrastructure development rather than allowing resources to be absorbed through taxation and administrative costs.
Concern Over Declining Buffalo Milk Supply
Despite overall growth, Bemul expressed concerns regarding declining buffalo milk procurement.
Of the 669 affiliated milk producer societies, around 215 societies reportedly did not supply any buffalo milk to the cooperative during the year.
A significant share of buffalo milk is increasingly being sold to private players, impacting Bemul’s ability to expand production of high-value dairy products such as:
- 🥛 Curd
- 🧈 Ghee
- 🧀 Other value-added dairy products
The cooperative has urged farmers to channel at least 50% of their buffalo milk production through Bemul to strengthen its value-added dairy portfolio.
New Welfare Measures for Dairy Farmers
Bemul announced a new support initiative for elderly dairy members after insurance providers reportedly declined coverage for members above the age of 70.
Under the new welfare scheme:
✅ Families of deceased milk-supplying members will receive ₹60,000.
✅ Families of non-supplying members will receive ₹25,000.
The initiative will be financed through the Farmers Welfare Fund, further reinforcing the cooperative’s farmer-centric approach.
Mega Dairy Project in the Pipeline
One of the major announcements during the meeting was the proposal to establish a mega dairy processing facility in Belagavi.
Efforts are currently underway to acquire approximately 25 acres of government land for the project.
The proposed mega dairy is expected to:
- Reduce production costs
- Increase processing efficiencies
- Enhance value-added dairy manufacturing
- Improve returns for member farmers
- Strengthen Bemul’s long-term competitiveness
The project forms part of broader development plans scheduled for 2026-27 and 2027-28.
Turnover Continues to Rise
For the financial year 2025-26, Bemul reported:
📈 Business turnover of ₹515.1 crore
💰 Net profit of ₹2.6 crore
The union has also approved several investments, including:
- ₹13 crore for farmer welfare and society facilities
- ₹2.5 crore for sales and market development
- ₹4.5 crore for infrastructure creation
Dairy Farming Emerging as a Key Economic Driver
Jarkiholi emphasized that dairy farming should increasingly become a major economic pillar alongside sugarcane cultivation in the region.
With rising milk procurement, expanding infrastructure investments, and enhanced welfare initiatives, Bemul’s growth reflects the increasing importance of cooperative dairy models in supporting rural livelihoods and strengthening India’s dairy economy.