

CHENNAI: In a bid to prevent the misuse of subsidies given to cardholders and streamline milk distribution, Aavin is set to introduce an e-milk card with a unique number. Milk and dairy development minister SM Nasar on Wednesday informed the Assembly that milk distribution through cards would be digitised. The current method of issuing paper cards to consumers for milk purchases will be replaced with the new system, he said.
As much as 6 lakh litres of milk is being distributed through milk cards, according to official data.
The card consumers are provided full cream milk at a subsidised rate of Rs 46 per litre instead of the regular price of Rs 60. Similarly, standardised milk (green) is sold at a discounted rate of Rs 41 per litre while the retail price is Rs 44 per litre. Toned milk is also granted a subsidy of Rs 2 per litre.
The state government increased the milk procurement price by Rs 3 per litre on November 3 last year and raised the retail price of full cream milk (orange) from Rs 48 to Rs 60 a litre. To prevent the misuse of the subsidy, in January, Aavin made it mandatory for customers to submit ration cards or aadhaar for renewing orange cards. The measure proved effective in eliminating thousands of counterfeit cards.
“Once e-card is introduced, we will be able to monitor how much subsidy is given to each milk card consumer. The system will completely eliminate the misuse of cards in the commercial market,” said an official
Last year in December, an internal inquiry was conducted into allegations that Aavin employees in the south region of Chennai facilitated the sale of subsidised full cream milk to commercial establishments. As a result of the investigation, four officials in the rank of assistant general managers in the marketing department were transferred to new positions.
Major announcement of milk and dairy development department