The Indian dairy sector faces challenges and opportunities in increasing value.

Source: dairydimension.com India currently accounts for approximately a quarter of global milk production. During the period 2023–2024, milk production reached about 239 million tons, with an average per capita supply of 471 grams/person/day, affirming the dairy sector's pivotal role in national food security and nutrition. India's dairy production structure provides a clear strategic advantage: cow milk accounts for nearly 50% and buffalo milk for about 44% of total production. This facilitates the production of high-fat and SNF content dairy products such as ghee and paneer. However, approximately 65% of milk production is still consumed in liquid form, indicating a heavy reliance on low-margin products. Value-added dairy products (VAPs) are the fastest-growing segment, with items like yogurt, paneer, and cheese accounting for nearly 45% of the product catalog of organized dairy enterprises. Nevertheless, nearly two-thirds of milk in India circulates through the informal sector, ...