Amit Shah, Union Home Minister and Minister of Cooperation, inaugurated a newly constructed Bio-CNG and organic fertilizer plant at Banas Dairy in the Vav-Tharad region of Gujarat and laid the foundation stone for a 150-tonne-per-day milk powder plant, marking a significant expansion of cooperative-led green energy and dairy processing infrastructure.
Banas Dairy, one of India’s leading cooperative milk unions, has emerged as a major player in sustainable dairy operations. Addressing farmers and cooperative members, Shah highlighted that the organisation, founded by Galbabhai Nanjibhai Patel in 1960, has grown into a ₹24,000-crore turnover institution driven largely by village-level milk societies and women members of the cooperative network.
The event was attended by Gujarat Assembly Speaker Shankar Chaudhary, Ministers of State for Cooperation Krishan Pal Gurjar and Murlidhar Mohol, Cooperation Secretary Dr. Ashish Kumar Bhutani and other senior officials.
Focus on Circular Economy in Dairy Sector
Speaking at the ceremony, Shah underlined the government’s push to integrate circular economy practices into the cooperative dairy sector. He said animal waste should be fully utilised for bio-gas, Bio-CNG, organic manure and electricity generation, ensuring additional income streams for farmers.
He stated that the new Bio-CNG plant would serve as a national model for dairy-led renewable energy projects, while the upcoming milk powder plant is expected to strengthen processing capacity and value addition in the region.
The minister also said cooperative dairies will move towards in-house production of animal feed, reducing dependence on open markets and ensuring that added profits are transferred directly to farmers’ bank accounts.
Transformation of Banaskantha’s Rural Economy
Shah recalled the water management and irrigation transformation in Banaskantha, facilitated through schemes such as Sujalam-Sufalam and river-linking projects. He noted that regions once dependent on single-crop agriculture are now cultivating multiple crops annually, contributing to improved farm incomes and rural prosperity. Read How Banas Dairy Is Redefining India’s Cooperative Model Through Potato Seed Production.
Shah announced that academic institutions have been tasked with documenting Banaskantha’s water conservation and rural development journey to create a formal research-based record of this transformation.
National Cooperative Expansion Plans
The minister said the Government of India has established new national-level cooperatives for seeds, organic products, agricultural exports and dairy development, aimed at strengthening the entire agricultural and animal husbandry value chain.
Highlighting the vision of “White Revolution 2.0”, he said initiatives such as the National Gokul Mission, Animal Husbandry Infrastructure Development Fund, National Dairy Plan and National Animal Disease Control Programme will be key pillars in modernising the sector.
He also noted that digital infrastructure, including micro-ATMs at village milk cooperatives, has improved payment transparency and service delivery to farmers.
Tribute to Ambedkar and Sardar Patel
The minister paid tribute to Bhimrao Ambedkar on his death anniversary and referred to the ongoing celebrations of Sardar Vallabhbhai Patel’s 150th birth anniversary, recalling Patel’s role in strengthening India’s cooperative movement.

