Overview of India's Dairy Industry
India stands as the largest milk producer globally, contributing over 24% to the world's total milk production. The country boasts a significant livestock base, including approximately 192 million dairy cattle and 135 million dairy goats, which are fundamental to its substantial dairy output.
Milk Production and Processing
In the fiscal year 2023-2024, India achieved a remarkable annual milk production of 239.3 million tonnes. The processing sector in India is well-developed, handling between 65 to 70 million tonnes of milk each year. Cheese production is a notable segment within this industry, with an annual output of around 90,000 tonnes. Additionally, India produces approximately 600,000 tonnes of milk powder and whey annually.
Key Dairy Enterprises
The Indian dairy market is dominated by major enterprises such as Amul, Mother Dairy, Milky Mist, Parag Milk Foods, and Yakult Danone India. Other significant players include Baramati Agro Ltd., Hatsun Agro Product Ltd., Karnataka Milk Federation, Heritage Foods, and Vijay Dairy & Farm Products.
Exports and Imports
India exports around 100,000 tonnes of dairy products annually while importing approximately 50,000 tonnes. This reflects India's strategic positioning and relative self-sufficiency in dairy production.
Significant Market Events
Several key events are currently shaping the Indian dairy market. Milky Mist is planning an IPO valued at ₹20,000 crore, while Mother Dairy aims for a turnover of ₹17,000 crore by FY 2025. Parag Milk Foods reported a 27% profit increase in ghee and cheese production, and Yakult Danone India launched 'Yakult Light Mango' with a target of 50% sales growth. The World Dairy Summit 2027 will be hosted in India, emphasizing its global significance. Additionally, ongoing EU trade negotiations focus on dairy market access, and India continues to exclude dairy from recent FTAs, highlighting a complex trade landscape.
Future Outlook
The future of India's dairy market is centered on expansion and sustainability. Noteworthy initiatives include the proposed world's largest curd manufacturing facility by the Gujarat Cooperative Milk Marketing Federation in Kolkata and the implementation of biogas models in 250 cooperative districts. Despite geopolitical tensions, India remains a leader in milk production, focusing on technological modernization, value-added product development, and export diversification. Innovations like Danone India's DEXOGROW, targeting childhood iron deficiency, and Bharat Biotech's Biolumpivaxin vaccine for Lumpy Skin Disease, emphasize health and nutrition. New facilities, such as the Gomati Dairy unit in Tripura and Amul Dairy's upcoming plant in Assam, aim to boost regional production and empower local economies. Furthermore, Amul has launched its fresh milk products in Spain through a partnership with Spain's prominent dairy cooperative COVAP, marking its entry into the European market.
Regional Contributions
Gujarat is a notable contributor to India's total milk output. In 2024, Gujarat produced 18.31 million metric tonnes of milk, a significant contribution to India's total milk output.
Modified: 2025/05/18