India’s Dairy Sector

India’s Dairy Sector

Introduction

 

Smt. Gurvinder Kaur of Ajoli village in Rupnagar, Punjab, chose dairy as her path to progress. After receiving training from the Dairy Development Department in 2014, she started with a single Holstein Friesian cow. Holsteins are large capacious animals with colour patterns of black and white or red and white. This breed originated in Holland.  With persistence and scientific practices, she expanded to 4 Holstein Friesian milching animals () and started producing about 90 litres of milk each day. The milk is supplied to Verka dairy and to local consumers, giving her steady income and recognition. She invested in a chaff cutter, milking machine and silage unit showing how technology can maximise profits. Silage is fermented green fodder that ensures nutritious feed for livestock year-round.  Switching a promising career from a teacher to a dairy farmer, she proved that with knowledge, family support and determination, a woman farmer can build a thriving dairy enterprise and inspire many others.

 

Milk is central to nutritional security, offering quality animal protein and a rich mix of essential nutrients. It is considered a near-complete food, supplying proteins, minerals, vitamins, lactose, and milk fat. Dairy products provide nourishment across all age groups, supporting growth, bone health, and active living. Packed with calcium, magnesium, potassium, and other micronutrients in readily absorbable forms, milk plays a vital role in healthy development, particularly during childhood.

India holds the 1st position in global milk production for several years now, and contributes nearly a quarter of the world’s supply. The dairy sector has grown into one of the strongest pillars of the rural economy and has become central to food and nutritional security. Currently, dairy is the largest agricultural product in India, contributing 5 percent to the national economy and directly employing more than 8 crore farmers (as per National Accounts Statistics). The sector touches more than 8 crore rural households, many of whom are small and marginal farmers. Women play a significant role in production and collection, which makes dairy a strong driver of inclusive growth.

Growth of the Sector: An Overview

Overall Production

Over the past decade, India’s dairy sector has shown a remarkable growth. Milk production rose by 63.56% from 146.30 million tonnes in 2014–15 to 239.30 million tonnes in 2023-24. This means the country has maintained an impressive annual growth rate of 5.7% over the last 10 years. Figures from the Food and Agriculture Organization confirm that India continues to be the largest milk producer in the world, well ahead of countries such as the United States, Pakistan, China and Brazil.

Per capita availability

The availability of milk for each person in India has risen sharply over the past decade. Per capita supply has gone up by 48%, with more than 471 grams/person a day in 2023–24. This is far above the world average of around 322 grams/person a day.

 

 

Growth in Bovine Population

India’s 303.76 million bovines, which include cattle, buffalo, mithun and yak, form the backbone of both dairy production and draught power in agriculture. Sheep, with a population of 74.26 million, and goats, numbering 148.88 million, also play a vital role, especially in milk production in arid and semi-arid regions. Between 2014 and 2022, India recorded a 27.39% growth in productivity of bovines (Kg/year), the Highest in the World, ahead of China, Germany and Denmark. This growth is well above the global average increase of 13.97%.

This growth in bovine population is the result of schemes like Rashtriya Gokul Mission that focuses on bovine breeding, genetic upgradation, enhancing productivity of breeds. Also, under the Livestock Health Disease Control Programme (LHDCP), Mobile Veterinary Units (MVUs) have been established for delivery of veterinary healthcare services including disease diagnosis, treatment, vaccination, minor surgical interventions, audio-visual aids and extension services at farmers doorstep for animals’ treatment.

Further, ayurveda is being intergrated with modern veterinary practices for sustainable livestock health. Ethno Veterinary Medicine (EVM) is a cost-effective, eco-friendly option to tackle antibiotic resistance. Its use in treating bovine mastitis shows promise in reducing dependence on synthetic drugs and supporting healthier, more resilient dairy systems.

Strength of the Cooperative Dairy Network

The cooperative dairy sector in India is extensive and well organised. As of 2025, It includes 22 milk federations, 241 district cooperative unions, 28 marketing dairies and 25 Milk Producer Organisations (MPOs). Together, they cover about 2.35 lakh villages and have 1.72 crore dairy farmers as members.

Women at the Heart of Dairy Development

A defining feature of India’s dairy sector is the strong role played by women. Nearly 70% of the workforce in dairy farming consists of women, and about 35% are active in dairy cooperatives. Across the country, more than 48,000 women-led dairy cooperative societies operate at the village level, bringing inclusive growth and empowerment to rural communities.

NDDB Dairy Services (NDS) has also supported 23 Milk Producer Organisations, of which 16 are entirely run by women. In these, all producer directors on the boards are women, making them role models for inclusive growth in the sector. These MPOs also bring together nearly 1.2 million milk producers across 35,000 villages, making cooperatives a strong pillar of the country’s dairy growth.

The impact of this transformation is visible. The all-women Shreeja Milk Producer Organisation received the prestigious Dairy Innovation Award from the International Dairy Federation at the World Dairy Summit in Chicago for its pioneering work in empowering women.

Journey of India’s Dairy Revolution

The dairy journey of modern India began with the setting up of the National Dairy Development Board (NDDB) in Anand in 1965.  The objective was to replicate the Anand experiment of organizing the dairy farmers of Kaira district of Gujarat into the Kaira District Cooperative Milk Producers’ Union Limited, the precursor of Amul.  Verghese Kurien, was made the first chairman of NDDB. Operation Flood was launched in 1970 with the aim of setting up Anand-pattern cooperatives in milk-producing areas across the country, from where milk collected by these cooperatives would be supplied to cities. This eventually transformed India into the world’s largest milk producer. NDDB was later declared an Institution of national Importance through an Act pf parliament in 1987.

Rashtriya Gokul Mission – An Important initiative supporting Dairy Sector

The Department of Animal Husbandry and Dairying is implementing Rashtriya Gokul Mission (RGM) since 2014 for development and conservation of indigenous cattle and buffalo breeds, genetic upgradation of bovine population and enhancement of milk production and productivity of bovines. The revised Rashtriya Gokul Mission has been introduced in March 2025, to accelerate the growth of the livestock sector. It is being implemented as a Central Sector component of the Development Programmes scheme with an additional outlay of Rs. 1000 crore, making the total allocation Rs. 3400 crore for the 15th Finance Commission cycle from 2021–22 to 2025–26.

The scheme continues the earlier activities of the Rashtriya Gokul Mission. It focuses on strengthening semen stations, expanding the Artificial Insemination network, and implementing bull production and accelerated breed improvement programmes through sex sorted semen etc.

With the implementation of the Rashtriya Gokul Mission and other efforts of the Government, milk production has increased by 63.56% in the last ten years. Productivity has also increased by 26.34% in the last ten years.

Artificial Insemination Coverage

Artificial insemination is one of the most effective technologies for improving milk production and the productivity of bovines. At present, 33% of breedable bovines in India are covered through this method. Nearly 70% of the animals are still serviced by scrub bulls of unknown genetic merit.

In 2024-25, a total of 565.55 lakh artificial inseminations were carried out across the country. This marks an important step towards expanding scientific breeding practices and improving the quality of livestock.

Nationwide Artificial Insemination Programme (NAIP)

The National Artificial Insemination Programme (NAIP) under the RGM has made strong progress in recent years. Under NAIP, free AI services are being delivered at the farmers’ doorstep across districts. As of August 2025, the programme has covered 9.16 crore animals, 14.12 crores Artificial Insemination have been performed benefitting5.54 crore farmers.

Advanced Reproductive Technologies

To boost productivity, 22 IVF labs have been set up. Over 10.32 million doses of sex-sorted semen have been produced, of which 70 lakh doses have been used for artificial insemination. This helps farmers secure more female calves and strengthen milk output.

Multipurpose AI Technicians in Rural India (MAITRIs)

To bring breeding services closer to farmers, Multipurpose AI Technicians in Rural India, known as MAITRIs, have been introduced. These technicians are trained for three months at accredited institutes and receive grants of up to 50,000 rupees for necessary equipment. After 3 years, they become self-reliant through the recovery of costs. Over the last 4 years, 38,736 MAITRIs have been inducted and are now delivering services directly at farmers’ doorsteps.

Progeny Testing and Breed Multiplication

Milk production is a sex-limited trait, so the genetic worth of a bull is judged by the performance of its daughters. This scientific process, called progeny testing, helps in estimating the transmitting ability of bulls.

During 2021-2024, 3,747 progeny-tested bulls have been produced against the 5-year target of 4,111. Alongside this, 132 breed multiplication farms have been sanctioned to strengthen the availability of quality animals.

Future Vision: White Revolution 2.0

The launch of Standard Operating Procedure (SOP) for White Revolution 2.0 on 19.09.2024, and the formal launch on 25.12.2024, marks a fresh push to strengthen dairy cooperatives, generate jobs and empower women. The White Revolution 2.0 initiative will be implemented for five years during 2024-25 to 2028- 29. By 2028-29, milk procurement by dairy cooperatives is expected to reach 1007 lakh kg per day from current levels. The plan includes: –

Conclusion

India’s dairy sector is the backbone of rural livelihoods and a symbol of inclusive growth. As the largest milk producer in the world, the country has combined farmer-led cooperatives, women’s participation and scientific practices to achieve remarkable progress. With the momentum of White Revolution 2.0, the sector is poised to boost productivity, expand opportunities and continue transforming rural prosperity.

References

Ministry of Agriculture and Farmers Welfare

https://agriwelfare.gov.in/Documents/Success-Story-For-approval.pdf

Department of Animal Husbandry and Dairying

https://dahd.gov.in/sites/default/files/2025-05/Annual-Report202425.pdf

https://dahd.gov.in/sites/default/files/2025-08/DAHDDashboard-28-07-2025.pdf

https://dahd.gov.in/schemes/programmes/didf

https://www.dahd.gov.in/schemes/programmes/ahidf

 

National Dairy Development Board

https://www.nddb.coop/sites/default/files/pdfs/NDDB_AR_2023_24_Eng.pdf

https://www.nddb.coop/about/genesis/flood

https://www.nddb.org/about/genesis/ndpibrief

 

Government of Assam

https://dairy.assam.gov.in/portlets/farmers%E2%80%99-entrepreneurs%E2%80%99-corner

https://fpcapart.assam.gov.in/uploads/documents/Commercial%20Silage%20Making%20Unit-application-.pdf

 

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