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This is an archive article published on January 31, 2010

Insurance cover for milk distributors

In a novel move,the Pune District Co-operative Milk Producers’ Federation (Katraj Dairy) has come up with an insurance cover for about 300 of its milk distributors in the city to ensure their loyalty.

300 Katraj distributors selling over 100 litres daily to benefit from the scheme

In a novel move,the Pune District Co-operative Milk Producers’ Federation (Katraj Dairy) has come up with an insurance cover for about 300 of its milk distributors in the city to ensure their loyalty.

However,to be eligible for this scheme a dairy needs to be dispensing a minimum of 100 litres of milk daily. So far,there are about 300 such distributors with the dairy. “This year,we took a number of important decisions and providing insurance to our valued distributors is one of them. The decision was taken by our board of directors and came into effect just after Diwali. The main reason for this move was to appreciate the loyalty of many of our distributors who have been serving us for years,” said Ramesh Bhujbal,chairman of the dairy. He added that theirs is perhaps the first milk co-operative to provide insurance to milk distributors.

Managing director of Katraj Dairy,Vivek Kshirsagar,said the move was also to make life easier for the distributors. “Our milk distributors get up early and distribute milk on their vehicles. Considering the risk the job involves,the dairy authorities unanimously decided to bring them under insurance cover.”

The diary has decided to bear the extra burden of Rs 20 lakh that the move involves. Henceforth,the amount will be added in its annual budget.

“This year,we selected only 300 distributors,of the total of about 700,as they have been distributing a minimum of 100 litres of milk every day. Now,others can take a cue from it and increase their milk distribution. And if it goes beyond 100 litres per day,we can provide insurance to them as well,” Kshirsagar added.

Ankush Marne,a milk distributor of Katraj for the last 25 years,who sells around 7,000 litres of milk daily said the move will benefit those distributors who are dependent on the milk distribution business alone to sustain their family. “In case something happens to the head of the family,his family members will have some financial support.”


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