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Dairy Farming

Dairy farming is a class of agriculture for long-term production of milk, which is processed for eventual sale of a dairy product. Dairying is an important source of subsidiary income to small/marginal farmers and agricultural laborers. The share of livestock product is estimated at 21% of total agriculture sector. Milk production alone involves more than 70 million producers, each raising one or two cows/buffaloes primarily for milk production. In addition to milk, the manure from animals provides a good source of organic matter for improving soil fertility and crop yields. India is the world’s largest milk producer, accounting for more than 13% of world’s total milk production. As it is the world’s largest consumer of dairy products, but consuming almost 100% of its own milk production. It is expected that the world milk production will rise to 867 MMT by 26 per cent from current 714 MMT. However, as per the current CAGR of 4 per cent and optimistic projection of 4.5 per cent, India`s milk production is estimated to touch 180 million MT by 2020. Thus, due to demand it is best to invest in this project. Few Indian major players are as under • Amrut Industries Ltd. • Anmol Dairy Ltd. • Britannia Industries Ltd. • G R B Dairy Foods Pvt. Ltd. • Haryana Milk Foods Ltd. • Indiana Dairy Specialities Ltd.
Plant capacity: Cow Milk (Ltrs.): 756000 Units /Annum Manure (MT): 1080 Units /Annum Calf (Nos.): 126 Units /AnnumPlant & machinery: 47 lakhs
Working capital: -T.C.I: Cost of Project: Rs 529 lakhs
Return: 21.00%Break even: 50.00%
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  • One Lac / Lakh / Lakhs is equivalent to one hundred thousand (100,000)
  • One Crore is equivalent to ten million (10,000,000)
  • T.C.I is Total Capital Investment
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  • Caution: The project's cost, capacity and return are subject to change without any notice. Future projects may have different values of project cost, capacity or return.


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