Kathmandu, July 16:

National Planning Commission vice-chairman Dr Jagdish Chandra Pokharel today said Dairy Development Corporation (DDC) needs to be developed as a core company by incorporating hundreds of milk producers’ co-operative groups as partners.

Speaking at a programme organised here on the 40th anniversary of DDC, Dr Pokharel said its privatisation would enable it to face challenges in the market and increase efficiency.

DDC enjoys 55 per cent market share of dairy business in Nepal. Only twelve per cent of 1.3 million metric tonnes of milk produced in Nepal is bought by organised groups, according to DDC.

Speaking on the occasion, Tek Bahadur Thapa, secretary to the Ministry of Agriculture and Cooperatives (MoAC), asked DDC to end the milk holiday by producing powder milk. He also stressed on cattle farming on a large scale to increase milk production.

Ajab Lal Yadav, general manager of DDC said it was contributing to the rural economy by creating income of billions of rupees in rural areas.