Special Correspondent:

Allegation has been intensified that the Milk Vita’s new milk processing plant has not yet been able to go on production even after passing of eight years due to use of substandard equipments imported from India.

Milk Vita in the FY 2015-2016 took initiative to set up a new plant at Baghabarighat in Shahzadpur upazila of Sirajganj district to expand its production and storage capacity under a new mega project involving at around Tk 105 crore with the aim to curb imports and help dairy farmers avert losses.

The plant, which scheduled to be completed by 2017, had a target to increase the production of powdered milk by 25 tonnes a day, while the country’s daily average import of powdered milk stands at 59 tonnes.

Although, the installation of the plant’s infrastructures was completed by 2018, complications arose over the procurement of its components.

Though, most of the equipments were supposed to be purchased from Germany, low-quality equipments were purchased from India on the instructions of the then former Chairman of Milk Vita Sheikh Nadir Hossain Lipu.

Due to use of below standard equipments in the plant, the machine caught fire while going to initial trial in 2023. The plant has since been shelved. Most of the equipments have already been rusted.

Milk Vita has not become able to launch the plant even after eight years of repeated time extensions. Currently, the plant is lying in a state of neglect.

It is alleged that Sheikh Nadir Hossain Lipu, being a member of the Sheikh family, occupied the Chairmanship for the longest time in the history of Milk Vita.

Milk Vita has reached on the brink of destruction due to the plundering by Lipu and his associates. The company has lost about Tk 1500 crore in the last 10 years due to their unbridled corruption and anomalies.

Sources said that, the amount of loss to Milk Vita due to direct and indirect corruption of the former chairman Nadir is being calculated. Investigations into various irregularities and corruptions are underway.

Nadir Hossain Lipu has been in power for 10 years without the votes of the cooperative members. The farmers, employees and workers of Milk Vita have also demanded that those who cooperated in his devil works should be brought to justice.

Insiders said, the below standard machineries caught fire during the trial stage. All the parts of the plant are substandard, due to which it cannot be used.

They complained that former Chairman Nadir Hossain Lipu wasted crores of taka by purchasing substandard machines from India at low prices. The employees fear about when the boiler will burst or when the machine will explode. This is why, they don’t dare to operate it. Consequently, production has remained closed.

It is to be mentioned that, dairy farmers in Shahzadpur produce about 5.5 lakh litres of raw milk a day. Of the produce, Bangladesh Milk Producers’ Cooperative Union Ltd, also known as Milk Vita, buys about 2.5 lakh to 3.5 lakh litres.

Small farmers face problems in marketing the rest of the milk and are forced to sell it in the local market at throwaway prices. The situation becomes acute particularly during peak production period of November to March. Bangladesh imports 21,700 tonnes of milk powder a year. The only powder milk processing plant of Milk Vita can produce up to 12.5 tonnes a day.

To resolve the problems, the mega project was undertaken during the Awami League government regime.

If the plant was able to go on operation perfectly, Milk Vita would be able to buy the additional two lakh litres of raw milk a day and process them into milk powder. The plant will benefit dairy farmers and reduce import of powdered milk,” insiders said.

Milk Vita produces pasteurised milk, powdered milk and other milk products and supplies them across the country.

Its machine purchasing committee Chairman Pritam Kumar Saha said that, “Most of the machines are still lying outside. The purchase committee does not know which machines have been damaged in the plant so far due to keeping those as unused.

Saidur Rahman Bachchu, President of Sirajganj Chamber of Commerce, said, “This plant has now turned into stage of selling as scrap. Former officials have looted thousands of crores of taka by purchasing low-quality parts and laundered money abroad. Immediate action must be taken against those, who did this.”

Shariful Islam Talukder, Project Director (Acting) of Milk Vita, said, “Payments of some foreign engineers have been remained stuck up. Discussions are underway with the authorities on how the plant to be started again.”

Commander Zahirul Alim, President of the Interim Management Committee of the Milk Association, said, “It is possible to resolve all the problems shortly through discussion. Action would be taken after investigating into the matter of corruption.”

Locals have sought the intervention of ACC to look into the matter for the sake of dairy farmers.