Indian dairy industry

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Estimates suggest that by 2017, India will not be able to meet its domestic milk demand and will have to import milk from other countries.

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Indian dairy industry

  1. 1. Milk Shortage Looming in IndiaEstimates suggest that by 2017, India will not be able to meet its domestic milk demand and will have toimport milk from other countries.Very few growing up in the 1980s and 1990s might have ever imagined a looming milk shortage in India.This was mainly as a result of the success of the four decade old “Operation Flood” dairy developmentprogramme started by India’s National Dairy Development Board (NDDB) in 1970. The success achievedby this programme enabled India to become the world’s largest producer of milk and milk products. Asignificant gap between milk demand and supply now seems to be a very real possibility, according to arecent report released by IMARC Group.According to the report “Indian Dairy Market Report & Forecast: 2012-2017”, rising incomes have led to atransition from cereals to milk, meat and vegetables. As a result, consumption of milk in India is expectedto grow at around 5-6% in the next ten years, whereas, production in the same period is expected to growat 3-4%. Estimates from the report suggest that by 2017, India will not be able to meet its domestic milkdemand and will have to import milk from other countries.According to an analyst from IMARC Group “efforts to increase milk production have been intensified byboth the government and the private sector in recent years. These efforts, however, have so far not beenvery successful as the industry still faces a number of challenges such as insufficient and poor qualityfodder, lack of cold chains, low yields and poorly bred cattle”. Fodder prices in India have also increasedat around 20-25% in the last 2-3 years. Moreover, the demand for animal feed is around 30-40 milliontonnes, only around half of this demand, however, is currently available. This has resulted in farmersresorting to feeding cattle leftover feed from their farms, leading to lower yields.This study, an updated and far more extensive and analytical version of our popular 2011 study, providesand draws upon a comprehensive analysis of every major dairy segment in India. The study, which hasbeen undertaken using both desk research and two waves of qualitative primary research has analyzedthree aspects of the Indian dairy market. The first section quantifies the Indian dairy market into fourteenmajor segments and investigates the current and future opportunities in each of these segments. Thesecond section provides an in-depth understanding of dairy consumption patterns among Indianconsumers and the potential of value added dairy products. The third section investigates into the usageof natural colouration in dairy products and evaluates their current and future potential.To buy the complete report or to get a free sample, please contact:
  2. 2. IMARC Group AsiaEmail: apac@imarcgroup.comPhone: +91-120-415-5099IMARC Group North AmericaEmail: america@imarcgroup.comPhone: +1-631-791-1145IMARC Group Europe, Middle East & AfricaEmail:ema@imarcgroup.comPhone: +44-702-409-7331To know more please visit: http://www.imarcgroup.com/indian-dairy-market-report-forecasts/

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