"Dues of Rs 55 crore of milk producers pending through milk societies will be cleared by the government," he said after laying foundation stone of a dairy plant with a capacity of processing five lakh litres of milk per day.
"I am confident that if producers get right price and timely payments are made, their interest in this sector will increase," he added.
Agriculture Production Commissioner Alok Ranjan said while two lakh litres milk would be packed at the plant, another three lakh litres would be processed to manufacture 30 MT powder.
The plant would also produce, ghee, butter, curd and ice-cream, he added.
Yadav said, though two years time has been fixed to complete the plant, efforts should be made to finish the project before Lok Sabha elections in 2014.
He said it was unfortunate that farmers were not getting the benefit of their produce, while others were earning profits.
"Once the product leaves the hand of a farmer, people earn profit, but he (farmer) is not getting the benefit. Cost of production is also increasing. SP wants to change the system," he said.
"It will take time to bring things back on the track. But the manner in which decision are being taken, departments will be reformed one by one and we will bring the state back on the track of progress," he added.
The Chief Minister said unemployment allowance would be distributed from September 9.
"We will arrange jobs, for which policies are being framed and industries will come to the state, but in the meantime we will give unemployment allowance," he said.
Yadav said 'kanya vidyaddhan' would be given and financial assistance would be given to Muslim girls who have passed high school.
The minister said there is a power crisis in the state but SP (Samajwadi Party) is not responsible for it.
"The previous government did not do what was required but the responsibility came on SP after forming the government. We are making arrangements to increase generation and improve transmission and distribution system," he said.
He also said the government would soon take a decision on launching a scheme for interest free loans for farmers to purchase improved breed of cattle.
Lucknow: Uttar Pradesh Chief Minister Akhilesh Yadav Monday said the dues of milk producers pending through societies would be cleared by the state government.
First Published: Monday, September 03, 2012, 15:52