Question : ALLEGED IRREGULARITIES IN DMS



(a) whether reports of alleged irregularities in Delhi Milk Scheme (DMS) causing huge losses to the institution have come to the notice of the Government during the last three years; and

(b) if so, the details thereof and the reaction of the Government thereto; and

(c) the measures taken by the Government so far to make DMS a profit earning institution?

Answer given by the minister


THE MINISTER OF STATE FOR AGRICULTURE AND FOOD PROCESSING INDUSTRIES (SHRI ARUN YADAV)

(a)&(b) DMS has reported losses during the last three years due to the following reasons:

i) increase in the cost price of raw material, light diesel oil, water, polythene film, electricity and Other consumable.

ii) Lower capacity utilization of plant.

iii) The plant and machinery at DMS is old requiring high manpower resulting in higher cost of production.

(c) For improving the profitability of DMS, Government has taken the following steps:

i) Adopting professional approach in different areas of operation such as marketing, transportation and plant operations for increasing overall efficiency.

ii) In order to reduce expenditure, packing of milk in Central Dairy is being completed in two shifts against three shifts.

iii) Modernization of the obsolete plant, machinery and equipment is being undertaken to reduce the cost.