Milk farmers in Koshi Province have submitted a memorandum to the Minister of Agriculture and Livestock Development, demanding overdue payments for milk supplied to the Dairy Development Corporation (DDC) over the past six months. The farmers, from all districts in Koshi, submitted their memorandums through the Chief District Officers of their respective areas.
Despite government directives for the DDC to settle payments for milk delivered up until the end of June, farmers claim the corporation has not made any payments since the end of April. The National Farmers’ Group Federation (NFGF) has reported that nearly Rs. 190 million remains outstanding for Koshi’s milk farmers.
Ram Magar, Ilam coordinator for NFGF, presented the memorandum to the Ilam District Administration Office. He emphasized that farmers have demanded payment for the months of May through mid-July within a week. “Many farmers in Ilam have been supplying milk to the DDC, but due to delayed payments, their households are facing serious financial hardship,” Magar said. He also noted that the DDC had closed three cooling centres in Ilam, further eroding farmers’ trust in the corporation.
The DDC’s data shows that Koshi Province produces around 575,504 tonnes of milk annually. The corporation collects milk from multiple districts, including 8,000 litres from Ilam, 5,000 litres from Jhapa, 6,000 litres from Dhankuta, 2,000 litres from Tehrathum, and 1,000 litres from nearby farmers, in addition to 15,000 litres from other dairies and private farms.
Kusum Dahal, Koshi in-charge of the NFGF, highlighted that the nonpayment of dues has deeply affected 14,698 families in the region who rely on direct sales to the DDC. “These families are struggling to afford daily necessities, school supplies for their children, and other basic expenses, causing significant stress,” Dahal said. “Despite a Cabinet directive for the DDC to release the funds, the corporation has remained unresponsive. If payments are not made soon, farmers are prepared to stage protests.”