RS Sodhi, the Managing Director of India’s leading dairy cooperative GCMMF that markets its products under ‘Amul’ brand claimed that India’s milk production is expected to increase three-fold to 628 million tonnes in the next 25 years with an average annual growth of 4.5 percent.
The 2021 statistics accounted for 210 million tonnes of milk production.
Speaking at the International Dairy Federation World Dairy Summit (IDF WDS) 2022, Sodhi asserted, “Milk production in India is projected to grow at a Compound Annual Growth Rate (CAGR) of 4.5 percent to reach 628 million tonnes in the next 25 years.”
He added, “India’s share in global production is estimated to nearly double to 45 percent in the next 25 years from 23 percent now.” He cited the rising population as the reason for the increasing demand.
The country that currently accounted for 23 percent of the global milk production is expected to contribute nearly half of the World’s total milk production in the next two-and-half decades worldwide.
India would be part of global efforts to bring down the adverse environmental impact of farming, dairy, or global emissions, as per the fact that the country accounted for about one-fourth of the World’s milk production.
“The rise in milk production will also leave us with an export surplus of 111 million tonnes, which should be around USD 100 billion in 2048,” he added.
The per capita income for milk will increase at 2.8 percent CAGR to 852 grams per person. Currently, it stands at 428 grams per person per day.
Meanwhile, NDDB Chairman Meenesh Shah said, “The current value of the Indian dairy business is close to INR 13 trillion. The size of the Indian Dairy market is estimated to jump over two-fold to INR 30 lakh crore by 2027, driven by terms of growth in both volume and value.”
India’s dairy sector has the most efficient supply chain in the world, considering the packaging and transportation costs for supplying milk to consumers very less to the global average.