The seminar document provides an overview of the Indian dairy industry in 3 paragraphs: 1) It introduces the topic, noting that dairy is integral to India's rural economy and that demand is growing not only in cities but also towns and rural areas. The industry has progressed from an agrarian way of life to a professionally managed one. 2) It discusses challenges facing the industry like low milk yields per cow compared to other countries, as well as issues like shortages of fodder and poor transportation. 3) It provides a brief history of the industry, highlighting the Operation Flood program launched in 1970 which transformed India from a milk importer to having a surplus, led by the National Dairy Development Board.

1. WELCOME

2. Seminar
On
Indian Dairy Industry
Advisor:
Dr. SK. Aktar Hossain
Associate Professor
16MSDY026WCDT, SHUATS
Submitted by:
Neeraj kumar Dixit
M.Sc. Dairy Technology
Warner College of Dairy Technology
Sam Higginbottom University of Agriculture Technology And Sciences

3. Introduction:
Dairy activities have traditionally been integral to India's rural
economy and it's no wonder the country ranks as the world's
largest producer and consumer of dairy products. The demand
for milk is tremendous, and is growing not only in cities but
also in small towns and rural areas. Over the past two
decades, dairy farming has progressed in the direction of
becoming an organized industry that encompasses not only
increased production of milk and milk products, but also the
breeding of higher yielding cattle, scientific rearing of
animals and feed production. Dairy farming in India is now
evolving from just an agrarian way of life to a professionally
managed industry. Transformation of this sector is being
induced by such positive factors like newfound interest on the
part of the organized sector, new markets,.

4. Challenges:
Though India can legitimately boast of having one of the
world's largest cattle population, the average output of
an Indian cow is significantly lower compared to its
American counterpart. The average milk yield per milch
cattle in India has been reported around 987 Kg per
lactation as compared to 7038 Kg per lactation in USA
and more than 9291 Kg per lactation in Israel. Besides,
the Indian dairy sector is plagued with various other
impediments like shortage of fodder, poor quality of
feed, dismal transportation facilities and a poorly
developed cold chain infrastructure. As a result, the
supply side lacks in elasticity that is expected of it.

5. History:
Prior to year 2000, India was not noticed by most
international dairy companies, as the country was neither an
active importer nor an exporter of dairy products. Although
India has imported some milk powder and butter oils as aid
between 1970 and 1990, exports from India were
insignificantly small and it was not until 2000 onwards,
when Indian dairy products started having more presence in
global markets.
The transition of the Indian milk industry from a situation of
net import to that of surplus has been led by the efforts of
National Dairy Development Board's Operation Flood
programme under the leadership of the former Chairman of
the board Dr. Kurien.

6. REVOLUTION IN DAIRY INDUSTRY
Operation flood
•It started by India’s National Dairy
Development Board in 1970
•Introduced under guidance of Dr. Verghese
Kurien (father of white revolution)
•It called White Revolution.
•Objective: To create a nation-wide Milk grid
•It results in making India the largest producer
of milk and milk products.
•Per capita availability of milk has increased
from 132 g per day in 1950 to over 220 g per
day in 1998.Today’s per capita consumption has
been increased up to 337g per day (2016-17)

7. Importance of Milk in human diet
•Skin glows, moisturisation (
Lactic acid factor)
•Healthy bones and teeth (Calcium
and Vita.-D factor)
•Muscle power enhancement
(protein factor)
•Excess Weight loss (from low fat
or skimmed milk )
•Less stress ( warm milk relaxes
tense muscles and frayed nerves)
•Lowering of high blood pressure.

8. Interesting Facts:
•It takes 2.5 gallons of milk to
make one gallon of ice cream.
•It takes 10 gallons of milk to
make one pound of cheese.
•It takes two gallons of water
to create one gallon of milk.
•500 gallons of blood have to
pass through the udder to
produce one gallon of milk.
•You would have to eat 2.5
cups of broccoli or 1 cup of
turnip greens to equal the
calcium in two servings of
dairy products.

9. Breeds:
Dairy Cow Breeds Indian
Sahiwal
Deoni
Gir

10. Exotic Breeds
•Jersy
•Holstein
freision
Buffalo Breeds
Murrah
Bhadawari
Mehshana

11. Product development:
•Dairy foods can be manufactured and
packaged for export to countries where
Indian food enjoys basic acceptance. The
manufacturing may be carried out in
contract plants in India. An option to
market the products in collaboration with
local establishments or entrepreneurs can
also be explored.
•Products exhibiting potential include typical
indigenous dairy foods either not available in
foreign countries. Gulab-jamuns, Burfi, Peda,
Rasagullas, and a host of other Indian sweets
have good business prospects.

12. Indian (traditional) Milk Products
•Makkhan - unsalted butter.
•Ghee - butter oil prepared by heat clarification, for longer
shelf life.
•Kheer - a sweet mix of boiled milk, sugar and rice.
•Basundi - milk and sugar boiled down till it thickens.
•Rabri - sweetened cream.
•Misthi Dahi - a type of curd made sweet generally.
•Lassi - curd mixed with water and sugar/ salt.
•Channa/Paneer - milk mixed with lactic acid to coagulate.
•Khoa - evaporated milk, used as a base to produce sweet
meats.

13. Top 10 milk producers in World (in 2016-17)
1.India 163∙74 MMT
2.U.S. 120∙34 MMT
3.China 72∙43 MMT
4.Pakistan 52∙31 MMT
5.Brazil 42∙67 MMT
6.Germany 32∙34 MMT
7.Russia 31∙02 MMT
8.France 27∙04 MMT
9.New Zealand 25∙53 MMT
10.Turkey 21∙01 MMT

14. Top 10 Milk producers in India
•Gujarat Co-operative milk marketing Federation Ltd.
•AP Dairy Development Co-operative Federation Ltd.
•Karnataka Co-operative Milk Federation.
•Kwality Ltd.
•Mehsana Dist. Co-operative Milk Producers Union Ltd
(Dudhsagar dairy)
•Mother Dairy Fruit & Vegetable Pvt Ltd.
•Schreiber Dynamix Dairies Pvt Ltd.
•Tamilnadu Co-operative Milk Producers Federation Ltd.
•Kerala co-operative Milk Marketing Federation Ltd (Milma)
•Orissa State Co-operative Milk Producers Federation Ltd.

15. Annual Growth Rate (%)
Sl. No. Year Milk (AGR %)
1. 1950-51 to 1960-61 1.64
2. 1960-61 to 1973-74 1.15
3. 1973-74 to 1980-81 4.51(white revolution)
4. 1980-81 to 1990-91 5.48
5. 1990-91 to 2000-01 4.11
6. 2000-01 t0 2009-10 5.77

16. Structure of Indian dairy industry (in 2012):
Indian Dairy Industry
•Unorganized 80%
•Organized 20%
I. Private Dairies 532
II. Cooperative Societies 254
III. Government 46

17. Emerging Dairy Markets:
•Food service institutional market: It is
growing at double the rate of consumer
market
•Defense market: An important growing
market for quality products at reasonable
prices
•Ingredients market: A boom is forecast in
the market of dairy products used as raw
material in pharmaceutical and allied
industries
Parlour market: The increasing away from-
home consumption trend opens new vistas for
ready-toserve dairy products which would
ride piggyback on the fast food revolution
sweeping the urban India.

18. Review of existing Government initiatives
•IDDP(Intensive Dairy Development Plan)
•Cooperative scheme
•NPCBB(National Programme for Cattle and Buffalo
Breeding)
•DVCFS(Dairy Venture Capital Fund Scheme)
•National Dairy Plan
•Delhi Milk Scheme
•Central Fodder Scheme

20. WEAKNESSES
•Perishability: Pasteurization has overcome this
weakness partially.
•Lack of control over yield: Theoretically, there is little
control over milk yield.
•Logistics of procurement
•Problematic distribution
•Competition
STRENGTH
•Demand profile
•Margins
•Flexibility of product
mixture
•Availability of raw material
•Technical manpower

21. OPPORTUNITIES
Value addition: There is a phenomenal scope for
innovations in product development, packaging and
presentation.
oSteps should be taken to introduce value-added products
like shrikhand, ice creams, paneer, khoa, flavored milk,
dairy sweets, etc
oAddition of cultured products like yoghurt and cheese
lend further strength - both in terms of utilization of
resources and presence in the market place.
oA lateral view opens up opportunities in milk proteins
through casein, caseinates and other dietary proteins,
further opening up export opportunies.
Export potential: Amul is exporting to Bangladesh, Sri
Lanka, Nigeria, and the Middle East

22. THREATS:
Milk vendors, the un-organized sector: Today
milk vendors are occupying the pride of place in
the industry. Organized dissemination of
information about the harm that they are doing to
producers and consumers should see a steady
decline in their importance.

23. AMUL: An Introduction
•AMUL means "priceless" in Sanskrit.The brand name
"Amul," from the Sanskrit "Amoolya," was suggested
by a quality control expert in Anand.
•Amul products have been in use in millions of homes
since 1946.
•Amul a leading food brand in India with a Turnover:
Rs. 38,000 crore in 20016-17.
• In 1999, it was awarded the "Best of all" Rajiv Gandhi
National Quality Award.
• Shri Ramsingh Prabhatsingh Parmar is the present
chairman and R.S.Sodhi is the present Chief GM of
AMUL.
•Amul (ANAND MILK UNION LIMITED) formed in
1946, is a dairy cooperative movement in India. It is a
brand name managed by an apex cooperative
organization, Gujarat cooperative milk Marketing
Federation Ltd. (GCMMF), which today is jointly
owned by some 3 million milk producers in Gujarat,
India.

24. CONCLUSION
Changing Dynamics in the Indian Dairy Industry – Self-sufficiency to Shortfall
•India emerged as the leading producer of milk in 1998
•In 2015-16 milk production was 146∙3 million tons (6∙26% growth rate).
•Based on NDDB estimates, milk demand is growing at twice this rate,
estimated demand in 2020 is 180-200 mn. tonnes
•Indicators of imminent shortfall
•Consumption of nonfat dry milk is forecast to surpass Indian production
in 2012, reflecting the small but growing deficit
•Butter consumption exceeded domestic production
•Increase in the volume of marketed surplus going through organized
sector as more private sector players enter the market
• Major National and Multinational companies investing in scaling up
operations: Hatsun, Reliance, Nestle, Dannon, Britannia, Fonterra.
•Setting up of large commercial farms
Dairy Motels model

25. References:
•Chawla, A., Chawla, N., & Pant, Y. (2009). Milk and Dairy Products in India‐ Production,
Consumption and Exports: Introduction. India: Hindustan Studies & Services Ltd. Retrieved 17
June 2011, http://www.hindustanstudies.com/files/dairysept09tocintro.pdf
•Chand, S., Saraiya, A., & Sridhar, V. (2010). Public Private Partnership in Indian Dairy
Industry. Retrieved 17 June 2011, from
http://www.technopak.com/resources/Food/PPP%20in%20Indian%20Dairy%20Industry
Technopak CII Back ground%20Paper_May08, 2010%20pdf%20ver.pdf
•Goswami, B. (2007, October 4‐5). Can Indian Dairy Cooperatives Survive in the New
Economic Order? Paper presented at the WTO Public Forum “How Can the WTO Help Harness
Globalization”, Geneva, Switzerland. Retrieved 16 June 2011, from
•http://www.indiadairy.com/
•Karmakar, K. G., & Banerjee, G. D. (2006). Opportunities and challenges in the Indian dairy
industry. Technical Digest, 2006:9, 24‐27. Retrieved 17 June 2011, from
http://www.nabard.org/fileupload/DataBank/TechnicalDigest/ContentEnglish/issue9td‐6.pdf
•National Dairy Development Board (2014). National Statistics. Retrieved 16 Jun 2011, from
http://www.nddb.org/statistics.html
•Ravishankar, 1997. Case in India, The Case of Cooperative Dairying in India-Report on an
International Workshop at the International Institute, Histadrunt, Betberi, Israel, COOPNET,p-42.
•Singh, R. (2014). India Dairy and Products Annual Report 2012. USDA Foreign Agricultural
Service: Global Agricultural Information Network. Retrieved 16 June 2011, from
static.globaltrade.net/fill.

26. Thank You