India is the largest producer of milk in the world, but only 18-20 per cent of the total milk produced is being channelized in an organized manner. Milk is the largest crop in India in terms of value at Rs.6.5 lakh crore, it's more than the total value of paddy and wheat put together.
It is contributing around 26% to total agriculture GDP. India's milk production is estimated at 165.5 mt for 2018, an increase of 3.8 per cent from the previous year. India's milk production has been increasing at a steady CAGR of 4.4 per cent between 1994-95 and 2017-18.
Forecast for the Industry
India's milk production is expected to outperform global production and grow to 185 MMT per annum, and surpass the European Union to emerge as the largest dairy producer by 2020. The Indian Dairy market is expected to reach a value of Rs 18,599 billion by 2023, exhibiting a CAGR of 15% during 2018-23.