Losses keep flowing for DMS

New Delhi, Mar 21 (UNI) After notching up huge losses for three consecutive years, Delhi Milk Scheme DMS braces up for collecting more losses this year.

The government-run DMS registered a loss of Rs 1,111.12 lakh in 2002-03, Rs 2,816.24 lakh in 2003-04 and Rs 1,777.66 lakh last year, while it expected a loss of Rs 1,395.84 lakh this fiscal, official sources said.

The losses were on account of continuous increase in cost prices of raw materials and other inputs as also lower capacity utilisation and higher operational losses due to the plant and machinery being very old and labour intensive.

However, DMS had taken steps to cut costs by outsourcing transportation and engagement of distributors to further increase sale of milk, reduction in consumption of electricity and water per unit of milk produced and custom packing of Mother Dairy milk to utilise the surplus capacity.

It was also modernising/upgrading some parts of the plant, machinery and equipment to reduce the operational cost and reduce staff by not filling up vacant posts.

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