Future of Khammam Vijaya Dairy uncertain amid closure plans
The future of Khammam Vijaya Dairy remains uncertain amid reports that the Congress government plans to shift its operations to Warangal. Farmers and opposition leaders fear the move could affect thousands of dairy producers and pave the way for leasing the dairy's land.
Published Date - 3 July 2026, 05:50 PM
Khammam: The future of Vijaya Dairy in Khammam is in limbo as the Congress government is planning to shut down its operations and has allegedly plotted to lease out the valuable land of the dairy to private firms.
The dairy is being operated by the Telangana Dairy Development Cooperative Federation on a 10-acre plot at Indira Nagar in Khammam city. It was inaugurated in November 1977 by the then Chief Minister Jalagam Vengala Rao with a capacity to process 20,000 litres of milk per day.
Nearly 50,000 dairy farmers in erstwhile Khammam supply milk to the dairy and earn their livelihood. With the government’s reported decision to shift the dairy operations to Warangal, their livelihood is set to be affected besides the future of the staff at the dairy.
According to officials, around 280 milk collection centres as well as six bulk milk cooling centres (BMCs) are being operated at Kothagudem, Yellandu, Kamepally, Kallur, Sathupalli and Yerrupalem under the Khammam dairy.
BJP Khammam district president Nelluri Koteswara Rao alleged that the three Ministers in the district, Bhatti Vikramarka, Ponguleti Srinivas Reddy and Tummala Nageswara Rao, who claim to be developing the district, had failed to develop the dairy and remained silent over the reports of its closure.
A Minister from Khammam has planned to set up his own milk dairy and has devised a plan to close Khammam Vijaya Dairy by reducing milk procurement and sales, thus portraying it as a loss-making unit. It is proposed to set up 60 new collection centres, but there is no support from the government, he alleged.
The government has already leased out valuable Vijaya Dairy land at Lalapet in Secunderabad to a private firm and the same is being planned in Khammam. The government must ensure that its operations continue from Khammam, otherwise serious agitations will be staged across the district, Koteswara Rao warned.
Telangana Rythu Sangham district president Donthu Rambabu noted that closing Khammam Vijaya Dairy, transporting milk procured here to Warangal and sourcing milk from there would lead to an increase in production costs besides causing a financial burden on consumers.
He demanded that Agriculture Minister Nageswara Rao intervene to stop the closure of the Khammam dairy. The government should initiate measures to modernise and develop the dairy. There is a delay in paying bills to milk producers and it should be rectified.