Growth and Development of Dairy Industry in India

Abstract

Milk provides nutritious food and supplements the income of rural people of the country. The study investigates the growth and development of the dairy industry in India. It studies the status of milk production and consumption of the country. The study attempts to forecast the production of milk in the country at the current trend of production. It tries to find the relationship between milk production of the country with its global export and imports. The findings will be helpful for both the policymakers and the dairy farm industry in making a production decision. Descriptive statistics, forecasting, and correlation analysis were used during the study to bring out the relationship between production, consumption, and distribution of milk products. It was found that with the current production trend in the country, India will be able to produce about 217 million tonnes of milk by 2025. The per capita milk availability of the country stands at 351 gms in 2016-17, which exceeds the global milk per capita availability of 229 gms per day. Correlation analyses were used to determine if there is a relationship between import and export of milk products with that of the amount of milk produced. The findings indicated that the production of milk has a positive impact on the export of milk products (r = 0.220, p = 0.601), whereas it has a negative effect on the imports (r = 0.228, p = 0.588). The study found that there is ample room for promotion, production, and distribution of liquid milk and its products, which policymakers and dairy industry can use it in their favour.