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Dairy Farming in India: A Global Comparison

November, 2015


The Indian dairy industry has grown consistently ever since the White revolution of the 1970s, making India, the world’s largest producer of milk with 17% global share. With an annual production of 146 million tonnes of milk India generates approximately USD 70 Billion of revenue. The Indian dairy market is expected to double within the next decade, primarily driven by over 15-20% growth in value added dairy segment.

To leverage this high growth potential and to meet the rising demand, a sustainable and strong dairy farming base will be critical. For achieving this, it becomes critical to address key challenges faced by the industry such as, low animal yields, ineffective breeding, improper feed and fodder management, deficient veterinary care, poor farm management and low financial inclusion among others. With dairy farming in India dominated by smallholder farmers, with an average herd size of less than 2, it becomes all the more challenging to address these issues, in the specific context of making small holder dairy farming globally competitive.

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