Shares of dairy firms rose 1.5-10 per cent after the Union Cabinet approved a Rs 4,558 crore scheme to promote the sector. Prabhat Dairy rose 1.6 per cent to  Rs 84.65, Vadilal Industries gained 1.7 per cent to Rs 840, Hatsun Agro climbed 2.5 per cent to Rs 665.90 and Umang Dairies jumped 9.4 per cent to Rs 49.30
Briefing reporters, Information and Broadcasting Minister Prakash Javadekar said this scheme will take the ‘white revolution’ to the next level. The Cabinet also decided to raise the benefit under the interest subvention scheme to 2.5 per cent from 2 per cent. The increased interest subsidy under Dairy Processing and Infrastructure Development Fund (DIDF) will be given to Nabard from 2019-20 (with effect from July 30, 2019) to 2030-31. In case there is an increase in the cost of funds, it would be borne by the borrower, according to an official statement. ‘The funding period (2017-18 to 2019-20) of the scheme is revised to 2018-19 to 2022-23 and the repayment period to be extended up to 2030-31 with spillover to the first quarter of the FY 2031-32,’ said the statement. The move would benefit 9.5 million milk producers spread over 50,000 villages.
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