Dairy sector in India: a scoping study
The Indian Dairy Sector has a significant share in the global dairy economy, being the largest milk producer in the world, contributing about 25% of global milk production in the year 2024, though mainly for national consumption. Animal husbandry, especially the dairy sector, is also one of the fastest-growing industries in India. In this context, the Netherlands Embassy launched a study for mapping the sector, challenges and opportunities in the Dairy Industry.
The Union Minister, Shri Rajiv Ranjan Singh in his speech on the Indian National Milk Day, 26th November 2024, emphasized the pivotal role of the dairy sector in the Indian economy. He noted that dairy is the single largest agricultural commodity, contributing 5 percent to the national economy and directly employing more than 80 million farmers, the majority of whom are women.
Given the sector's rapid growth and importance, international collaboration has become increasingly valuable. The Netherlands, known for expertise and leadership in the global dairy industry, is keen on expanding cooperation with India. Recognizing the potential for mutually beneficial partnerships, the Dutch government has been intensifying its efforts to foster collaboration in the dairy sector.
Dutch government delegation
Last November, a government delegation led by Vice Minister Jan-Kees Goet of the Dutch Ministry of Agriculture, Fisheries, Food Security and Nature, together with Dr. Hendrik-Jan Roest, Deputy Chief Veterinary Officer (CVO) met with Ms. Alka Upadhyaya, Secretary of the Department of Animal Husbandry and Dairying, who highlighted keen interest of India in cooperation on increasing productivity, breeding, animal health and fighting Antimicrobial Resistance (AMR).
In view of the growing interest on both the Indian and Netherlands side to cooperate in the dairy sector, Netherlands Embassy, launched a study for mapping the sector, challenges and opportunities in the Dairy Industry. Given India's diverse dairy ecosystem, the report identifies key areas for improvement, including cattle genetics, feed management, cold chain infrastructure, and value-added dairy products​. Moreover, the study outlines Indo-Dutch collaboration opportunities, particularly in knowledge exchange, skill development, and the introduction of innovative dairy technologies, furthering the bilateral goals of both India and the Netherlands.