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Thursday, December 14, 2017
 Dairy Industry Said to be Growing 10% a Year in India  

The value of the Indian dairy industry is expected to touch Rs 5 lakh crore by 2015, with milk output pegged at 190 million tons at the end of the period, according to industry chamber ASSOCHAM.

According to an Associated Chambers of Commerce and Industry of India (ASSOCHAM) study, the Indian dairy industry is growing at the rate of 10 percent per annum.

"Milk production is likely to reach about 190 million tons in 2015 from current level of about 123 million tons," the ASSOCHAM study, titled, 'Indian Dairy Industry: The Way Ahead', said.

India -- the world's largest milk producer -- accounts for around 20 percent of global milk production, with most of it consumed domestically, it added.

In India, about 60 percent of milk is consumed in liquid form, while the remaining 40 percent is used in the form of butter, clarified butter (desi ghee), cheese, curd, paneer, ice cream, dairy whiteners and traditional sweets.

"Growing at about 10 percent annually, the Indian dairy industry is predominantly controlled by the unorganized sector, which accounts for nearly 85 percent," ASSOCHAM Secretary General D S Rawat said in a statement.

About eight crore rural families across India are engaged in dairy production and the rural market consumes over half of the total milk produced, he added.

According to the study, an upward spiral in prices, the lack of proper infrastructure like cold storages and absence of a transparent milk pricing system are affecting retail consumption of milk and leading to escalating milk prices in the domestic market.

The lack of fodder, resulting in low yield from cattle, is another problem affecting the sector, it added.

Despite overall food inflation easing marginally to 10.63 percent for the week ended November 5, milk prices grew at a faster pace of 10.74 percent during the period.

The private sector can play a pivotal role in reducing the cost of milk production by employing advanced techniques to enhance productivity, providing breeding facilities for cattle and by developing processing and marketing infrastructure, Rawat said.

Andhra Pradesh, Bihar, Haryana, Gujarat, Madhya Pradesh, Maharashtra, Rajasthan and Uttar Pradesh are the leading milk producing states in the country.

Source: The Economic Times (India)


http://articles.economictimes.indiatimes.com/2011-11-18/news/30415066_1_milk-production-indian-dairy-industry-milk-prices
 


Posted on Tuesday, November 29, 2011 (Archive on Tuesday, December 06, 2011)
Posted by bsutton@adpi.org  Contributed by bsutton@adpi.org
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