India is both the world’s biggest producer and consumer of dairy products. According to a new report from IMARC Group titled “Dairy Industry in India: Market Size, Growth, Prices, Segments, Cooperatives, Private Dairies, Procurement and Distribution”, milk production in India reached figures worth an estimated 147 Million Tons in 2014-15. Despite being the world’s biggest market for milk, however, the dairy sector in the country continues to be characterised by a very large cattle population and significantly lower yields compared to the developed countries.
The report which has done a comprehensive analysis on the Indian dairy sector finds that dairy farming in the country is complementary to agriculture and mostly takes place by farmers at the village level. The procurement model comprises of various stages such as - production of milk, collection, transportation and processing. The milk producers have to be aided appropriately by a way of compensation, bonus, insurance programmes, loan facilities and subsidies. The report finds that although the sector has evolved significantly over the last few decades, there are still numerous challenges that still need to be addressed. These include low milk yields and quality, high transportation costs, lack of awareness among the farmers, substandard feed, etc.
IMARC Group’s new report “Dairy Industry in India: Market Size, Growth, Prices, Segments, Cooperatives, Private Dairies, Procurement and Distribution”, which is the fourth edition of their highly acclaimed publication, gives a detailed insight into the procurement process of the dairy industry in India. Apart from procurement, the report also provides a comprehensive analysis on various other aspects such as market size, market segments, key players, prices, distribution, government policies, trade, etc. The report which is based on both desk based research and multiple waves of primary research is a must read for anyone who plans to venture into the dairy industry in any form.
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