Finance Ministry approves 600 million rupee loan for DDC

Kathmandu, September 2 — The Ministry of Finance has given its approval for the Ministry of Agriculture and Livestock Development to seek Cabinet approval for a 600 million rupee investment in the Dairy Development Corporation (DDC), with certain conditions.

The Dairy Development Corporation plans to use these funds to settle outstanding payments to farmers for their milk.

Currently, the Dairy Development Corporation has a budget allocation of 10 million rupees for this fiscal year. The proposal includes transferring an additional 590 million rupees from the Ministry of Agriculture's allocated funds to achieve a total investment of 600 million rupees in the form of a loan. Once the Cabinet approves this proposal, the government will provide the funds as a loan to the DDC.

Farmers have been demanding payment, claiming they have not been compensated for the milk they supplied to the DDC. This issue has been discussed extensively with Deputy Prime Minister and Finance Minister Bishnu Prasad Paudel, Agriculture Minister Ramnath Adhikari, and DDC officials.