India’s milk market stable with low inflation rates in November

Dairy Federations urged to boost participation in midday meal and ICDS programs for greater impact

Alka Upadhyaya, Secretary of the Department of Animal Husbandry and Dairying (DAHD), stated that the milk supply in India remains stable, with the Wholesale Price Index (WPI) and Consumer Price Index (CPI) inflation rates for milk recorded at 2.09 per cent and 2.85 per cent, respectively, in November 2024. The country has sufficient stocks of Skimmed Milk Powder, Whole Milk Powder, White Butter, and Ghee. Additionally, there has been consistent improvement in milk procurement and procurement prices over recent years.

A meeting chaired by Alka Upadhyaya in New Delhi reviewed the milk situation in the country. The meeting involved representatives from the National Dairy Development Board (NDDB), the National Cooperative Dairy Federation of India (NCDFI), officials from DAHD, and State Cooperative Dairy Federations and Milk Unions. Discussions focused on the current state of milk production and progress made by State Milk Federations.

During the meeting, Secretary Upadhyaya highlighted that India remains the world’s largest producer of milk, with a production of approximately 239.3 million metric tons in 2023-24. She urged Dairy Federations to prioritize increasing milk procurement and enhancing payments to farmers while maintaining consumer affordability.

The Secretary also encouraged Milk Federations to actively participate in programs like the Midday Meal Scheme and the Integrated Child Development Services (ICDS) under the Ministry of Women and Child Development (MoWCD) and the Ministry of Human Resource Development (MoHRD). These programs provide significant opportunities for the dairy sector as an institutional market.

State Milk Federations, including Amul (Gujarat), Nandini (Karnataka), Saras (Rajasthan), and Megha (Jharkhand), were praised for their initiatives. Other federations were advised to adopt similar strategies. DAHD is working closely with MoWCD and MoHRD to promote milk inclusion in these programs.

The meeting also noted a 20 per cent increase in the consumption of processed dairy products. NDDB presented strategies to further enhance milk processing into value-added products, offering support to states through the National Programme for Dairy Development. These efforts aim to align with shifting consumer preferences toward packaged and value-added dairy offerings.