India's Dairy Industry: A Comprehensive Overview

Key Statistics

India maintains its position as the largest milk producer globally. The country supports roughly 192 million dairy cattle (including buffaloes) as of 2021. Milk production reached approximately 208 million tonnes during 2021-2022. Additionally, the nation hosts around 135 million dairy goats. Estimates suggest that India processes between 65 to 70 million tonnes of milk annually. Cheese production is marked at approximately 90,000 tonnes annually, while milk powder and whey production total around 600,000 tonnes per year.

Key Enterprises in India's Dairy Market

• Amul
• Mother Dairy
• Milky Mist
• Parag Milk Foods
• Yakult Danone India

Major Dairy Farms and Operators

• Baramati Agro Ltd.
• Hatsun Agro Product Ltd.
• Karnataka Milk Federation
• Heritage Foods
• Vijay Dairy & Farm Products

Exports and Imports

India exports around 100,000 tonnes of dairy products yearly, while imports stand at about 50,000 tonnes. This trade balance underscores India's significant role in global dairy markets.

Significant Market Events

• JORDBRUKARE published milk procurement prices across various states.
• Milky Mist announced plans for an IPO targeting a Rs 20,000 crore valuation.
• Mother Dairy has set a goal for a Rs 17,000 crore turnover by FY 2025, signifying a 13% increase.
• Union Minister Amit Shah addressed concerns about milk powder imports.
• Fonterra outsourced financial services to partners in Bangalore.
• Parag Milk Foods reported a 27% rise in net profit, driven by growth in ghee and cheese.
• Yakult Danone India launched 'Yakult Light Mango' to boost sales by 50%.
• Godrej Agrovet recorded a 28.3% increase in first-quarter net profit.
• India to host the World Dairy Summit 2027 at the IDF General Assembly.
• Ongoing trade negotiations with the EU focus on dairy market access.
• National Milk Day 2024 celebrated in New Delhi.
• Kerala launched its largest government-operated goat farm in Kasaragod.
• Mother Dairy signed an agreement with National Cooperative Organics Limited.
• Four men were arrested for adulteration in the Tirupati laddoo scandal.

Future Outlook

The Indian dairy market is poised for growth, focusing on managing stray cattle and enhancing food safety standards. The Gujarat Cooperative Milk Marketing Federation plans to establish a new plant in Kolkata, featuring the world's largest curd manufacturing unit. The sector emphasizes sustainability and global competitiveness despite challenges.

Advancements in animal health include the approval of Biolumpivaxin, a vaccine for lumpy skin disease (LSD), marking a milestone in livestock productivity protection. India's role in global dairy ensures further economic and trade growth. Sustainability efforts expand with the National Dairy Development Board's biogas model in 250 district cooperatives over two years. Trade negotiations aim to protect domestic industries while enhancing bilateral relations.

A report by India's Standing Committee on Agriculture highlights the disparity between milk price increases and food inflation. Miles Hurrell of Fonterra remains optimistic about a trade deal with India to extend market reach. India and New Zealand agreed to renew talks for a free trade agreement. India's growth in butter exports is striking.

Nestlé expands Nescafé RTD cold coffee in India, targeting young consumers. Women lead in Milk Producer Organisations. India navigates trade agreements post-U.S. tariffs, protecting sensitive sectors like dairy and agriculture. Political tensions rise in Karnataka over price protests. India benefits from trade tensions, potentially increasing American dairy exports. The new U.S. duties impose a 46% tariff on Indian products, affecting major dairy brands.

India imports $50 million in dairy products from New Zealand, 13% of total imports. Heritage Foods plans price hikes. Nova Dairy introduces a new summer product line.

Modified: 2025/04/18

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