A Study on the Dairy Industries in India

India being the world's largest producer of dairy products by volume, accounting for holds about 13% of world's total milk production and also accounts the world's largest dairy herd1. India being a country that consumes its own milk production. India is neither considered an active importer or an exporter of dairy products. However, bringing in the rules of Operation Flood Programme, the situation changed significantly and imports have reduced to a very small quantities. The year 2001, has brought India to be a key player in net exporting of dairy products and after the year 2003 India's import of dairy products has dipped while exports have increased at a fast rate. Yet the country provides a share in global market still remains at small rates of 0.3 and 0.4 percent for exports and imports respectively. This is because of people who directly consumption of liquid milk by the producer households. This also increases the demand for processed dairy products that has increased with the growth of income levels, which have left little dairy surpluses for export. Although, India with more consumers we exports special products like casein for food processing or pharmaceuticals. The Indian dairy sector is also different from other dairy producing countries as India places its importance on both cattle and buffalo milk.