Dairy Industry in India Share Analysis, Leading Producers and Forecast Report by 2034

Dairy Industry in India 2026-2034

According to IMARC Group's report titled "Dairy Industry in India 2026 Edition: Market Size, Growth, Prices, Segments, Cooperatives, Private Dairies, Procurement and Distribution", the report offers a comprehensive analysis of the industry, including dairy industry in India share, growth, trends, and regional insights.

How Big is the Dairy Industry in India ?

The dairy industry size in India was valued at INR 21,318.5 Billion in 2025 and is projected to grow to INR 57,859.1 Billion by 2034, with an expected compound annual growth rate (CAGR) of 11.73% from 2026 to 2034.

Market Growth Drivers:

The Dairy Industry in India is experiencing strong transformation as consumer preferences shift toward value-added dairy products, improved quality standards, and convenient packaging formats. Traditional dairy staples like milk, ghee, paneer, and curd continue to dominate household consumption, but newer segments such as flavored milk, Greek yogurt, probiotic drinks, cheese, and dairy-based snacks are gaining rapid popularity across urban and semi-urban markets. Moreover, rising health consciousness is driving demand for fortified dairy products enriched with vitamins, protein, and probiotics that support immunity and gut health.

Additionally, the growing influence of modern retail, quick-commerce delivery platforms, and cold-chain logistics innovations is making fresh dairy products more accessible and reducing spoilage during transit. In addition, premium dairy trends—such as organic milk, A2 milk, and farm-fresh artisanal products—are appealing to affluent and health-aware consumers. Technology adoption is also reshaping the sector, with farmers using digital tools for cattle monitoring, automated milking, and milk quality testing to enhance transparency and productivity. Furthermore, the expansion of dairy cooperatives and the entry of private players are promoting product diversification and competitive pricing. Together, these trends reflect a dynamic dairy ecosystem where affordability, innovation, and health-focused choices are reshaping India’s dairy consumption landscape.

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Dairy Industry in India Trends:

The Dairy Industry in India continues to grow steadily due to rising population, increasing disposable incomes, and expanding demand for diverse dairy products across rural and urban regions. As India remains the world’s largest milk producer, strong raw milk supply from millions of small farmers forms the backbone of the sector. Moreover, supportive government policies—including dairy infrastructure development funds, livestock health programs, and incentives for cold-chain expansion—are strengthening the industry’s production and distribution capabilities. Additionally, the growing penetration of organized dairy brands and processing companies is increasing product quality, packaging innovation, and distribution efficiency.

In addition, changing dietary habits and higher protein intake preferences are boosting consumption of cheese, yogurt, butter, and other value-added dairy categories. Export opportunities for skimmed milk powder, casein, and specialty dairy ingredients are also expanding as global demand for Indian dairy products grows. Furthermore, advancements in veterinary healthcare, improved breeding techniques, and better cattle feed practices are enhancing milk yield and quality. With rapid growth in e-commerce and home delivery, consumers now enjoy easy access to a wide range of dairy products delivered fresh. Together, these growth drivers position the Dairy Industry in India for long-term expansion—powered by structural reforms, rising demand, and continual improvements in dairy farming and processing technologies.

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Leading India Dairy Market Leaders:

Dairy Cooperatives:

  • Gujarat Co-operative Milk Marketing Federation Ltd
  • Mother Dairy Fruits & Vegetables Pvt Limited
  • Karnataka Co-operative Milk Producers Federation Limited
  • Rajasthan Cooperative Dairy Federation Ltd (RCDF)
  • TamilNadu Cooperative Milk Producers Federation Ltd (TCMPF)
  • Punjab State Cooperative Milk Producers Federation Ltd (MILKFED)
  • Orissa State Cooperative Milk Producers Federation Ltd (OMFED)
  • Maharashtra Rajya Sahakari Dudh Mahasangh Maraydit (Mahasangh)
  • Bihar State Co-operative Milk Producers Federation Ltd. (COMFED)
  • Haryana Dairy Development Cooperative Federation Ltd. (HDDCF)
  • Madhya Pradesh State Cooperative Dairy Federation Ltd. (MPCDF)
  • Pradeshik Cooperative Dairy Federation Ltd (PCDF)

Private Dairies:

  • Nestle India Limited
  • Hatsun Agro Product Limited
  • Tirumala Milk Products Pvt Ltd.
  • Milk Food Limited
  • Heritage Foods India Limited
  • VRS Foods Limited
  • Bhole Baba Dairy Industries Ltd.
  • Kwality Ltd.
  • Sterling Agro Industries Limited
  • Parag Milk Foods Limited
  • SMC Foods Limited

Dairy Industry in India Segmentation:

The market report offers a comprehensive analysis of the segments, highlighting those with the largest dairy industry share in India. It includes forecasts for the period 2026-2034 and historical data from 2020-2025 for the following segments.

Breakup by Segment:

  • Liquid Milk
  • UHT Milk
  • A2 Milk
  • Organic Milk
  • Flavored Milk
  • Curd
  • Lassi
  • Butter Milk (Chach)
  • Flavored and Frozen Yoghurts
  • Cheese
  • Probiotic Dairy Products
  • Table Butter
  • Ghee
  • Paneer
  • Khoya
  • Dairy Whitener
  • Skimmed Milk Powder
  • Ice Cream
  • Dairy Sweets
  • Cream
  • Whey
  • Milk Shake
  • Sweet Condensed Milk

Liquid milk holds the dominant position in the market, accounting for the largest share due to its widespread consumption, high demand, and essential role in daily nutrition.

Breakup by Region:

  • Karnataka
  • Maharashtra
  • Tamil Nadu
  • Delhi
  • Gujarat
  • Andhra Pradesh and Telangana
  • Uttar Pradesh
  • West Bengal
  • Kerala
  • Haryana
  • Punjab
  • Rajasthan
  • Madhya Pradesh
  • Bihar
  • Orissa

Uttar Pradesh takes the lead in the market, holding the dominant position by accounting for the largest share of the overall market demand and growth.

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Other Key Points Covered in the Report:

  • COVID-19 Impact on the Market
  • Porter's Five Forces Analysis
  • Strategic Recommendations
  • Market Dynamics
  • Historical, Current and Future Market Trends
  • Market Drivers and Success Factors
  • SWOT Analysis
  • Value Chain Analysis
  • Comprehensive Mapping of the Competitive Landscape
  • Top Winning Strategies
  • Recent Industry News
  • Key Technological Trends & Development

If you need specific information that is not currently within the scope of the report, we will provide it to you as a part of the customization.

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