Dairy Industry in India: Comprehensive Market Research, Trends, Future Outlook & Report 2026-2034

The latest report by IMARC Group, 'Dairy Industry in India 2026-2034 Edition: Market Size, Share, Trends and Forecast by Product and Region', provides a comprehensive industry analysis. It delivers deep insights into the Indian dairy ecosystem, highlighting growth drivers, competitive landscapes, and emerging segment trends for the 2026-2034 forecast period.

What is the Dairy Industry in India Size, Share, Trends, and Growth Forecast (2026-2034)?

According to the latest analysis by IMARC Group, the dairy industry in India size reached INR 21,318.45 Billion in 2025. Looking forward, the market is projected to reach INR 58,034.06 Billion by 2034, exhibiting a robust compound annual growth rate (CAGR) of 11.77% during the forecast period (2026-2034).

Key Market Statistics (2026-2034):

Here are the essential figures from the IMARC Group report:

• Market Size (2025): INR 21,318.45 Billion
• Projected Market Value (2034): INR 58,034.06 Billion
• Growth Momentum: 11.77% CAGR
• Regional Scope: India
• Study Period: 2026-2034

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What is driving the growth of the Dairy Industry in India?

The rapid expansion of the Indian dairy sector is propelled by a combination of rising health consciousness, government initiatives, and infrastructure development.

Key Growth Drivers:

• Rising Health Consciousness: There is escalating demand for milk and milk-based products as essential sources of protein and nutrients. Post-pandemic trends have accelerated the demand for functional dairy products like probiotic yogurts and fortified milk.

• Government Support & Initiatives: Schemes like the National Programme for Dairy Development (NPDD) are strengthening infrastructure for milk production, procurement, and marketing. Budget allocations (₹7,544 crore in Budget 2025) further support the sector.

• Cooperative Infrastructure: The success of cooperative models (like Amul and Nandini) has created efficient supply chains, ensuring fair prices for farmers and consistent supply for consumers.

• Urbanization & Income Levels: Rising per capita income and urbanization are driving consumption of value-added products like cheese, paneer, and flavored milk, beyond just liquid milk.

• E-Commerce Expansion: The rise of quick-commerce and subscription-based delivery platforms is transforming distribution, making fresh and premium dairy products easily accessible.

What are the Key Trends Shaping the Dairy Industry in India (2026-2034)?

The Indian dairy landscape is undergoing a transformation driven by premiumization and digital integration.

Emerging Market Trends:

• A2 Milk & Organic Penetration: There is a significant shift towards A2 milk and organic dairy products, driven by consumer preferences for chemical-free and ethically sourced options. Brands are launching premium A2 milk in eco-friendly packaging.

• Direct-to-Consumer (D2C) Models: New-age startups are disrupting traditional retail with farm-to-home delivery models, ensuring freshness and quality through digital supply chains.

• Functional & Value-Added Products: Manufacturers are launching "super milk" with high protein content, lactose-free options, and probiotic drinks to cater to health-conscious millennials and Gen-Z consumers.

• Sustainable Practices: There is a growing focus on sustainable packaging and ethical farming practices, aligning with global environmental standards.

Who are the Key Players in the Dairy Industry in India?

The competitive landscape of the Indian dairy market is driven by a mix of powerful cooperative federations and private dairy giants.

The following leading companies are profiled in the IMARC Group report for their significant market presence:

• Bihar State Milk Co-operative Federation Ltd. (COMFED)
• Gujarat Co-operative Milk Marketing Federation Ltd.
• Haryana Dairy Development Cooperative Federation Limited
• Karnataka Co-operative Milk Producers Federation Ltd.
• Madhya Pradesh State Cooperative Dairy Federation Ltd.
• Maharashtra Rajya Sahakari Dudh Mahasangh Maryadit (MRSDMM)
• Mother Dairy Fruits & Vegetables Pvt. Limited
• Rajasthan Cooperative Dairy Federation (RCDF)
• Tamilnadu Co-operative Milk Producers' Federation Limited
• The Odisha State Cooperative Milk Producers' Federation Limited (OMFED)
• Godrej Creamline Jersey Products Limited
• HAP
• Bhole Baba Milk Food Industries Ltd.
• Creamy Foods Limited
• Heritage Foods Ltd.
• Kwality Limited
• Milkfood Limited
• Nestlé S.A.
• Parag Milk Foods
• Prabhat Dairy (Sunfresh Agro Industries Pvt. Ltd.)
• Sterling Agro Industries Ltd.
• Tirumala Milk Products Pvt. Ltd.
• VRS Foods Limited

Explore the Full Report with Charts, Table of Contents, and List of Figures: https://www.imarcgroup.com/dairy-industry-in-india

How is the Dairy Industry in India Segmented?

The market segmentation of the Indian dairy industry is characterized by a vast array of product categories catering to diverse consumer needs.

The following section provides a detailed breakdown of the market categories analyzed in the IMARC Group report:

Analysis by Product:

The diverse product portfolio allows the industry to serve daily nutritional needs as well as indulgence categories.

• Liquid Milk (Exhibits clear dominance with a 65.3% market share in 2025)
• Ghee (Cow Ghee, Desi Ghee)
• Curd (Cup Curd, Pouch Curd)
• Paneer
• Ice Cream
• Table Butter
• Skimmed Milk Powder
• Frozen/Flavored Yoghurts
• Fresh Cream
• Lassi & Butter Milk (Chach)
• Cheese
• Flavored Milk
• UHT Milk
• Dairy Whitener
• Sweet Condensed Milk
• Whey
• Milk Shake

Liquid milk dominates the India dairy market with a 65.3% share in 2025, reflecting its role as a daily staple and the most widely consumed dairy product across urban and rural households.

Analysis by Region:

Regional distribution highlights the key milk-producing and consuming states.

• Uttar Pradesh (Exhibits clear dominance with an 18.7% market share in 2025)
• Rajasthan
• Gujarat
• Madhya Pradesh
• Andhra Pradesh and Telangana
• Maharashtra
• Karnataka
• Bihar
• Tamil Nadu
• West Bengal
• Punjab
• Haryana
• Kerala
• Orissa
• Delhi

Uttar Pradesh leads with an 18.7% market share in 2025, driven by its large population base and the country's highest dairy animal population, supporting strong milk production and consumption.

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What are the Recent Developments in the Dairy Industry in India?

The Indian dairy market is witnessing strategic investments and innovative product launches.

The following are the latest developments and news highlights as noted in the IMARC Group report:

• Strategic Investments: In January 2026, Milky Mist Dairy Food Ltd announced plans to invest Rs 1,130 crore to establish a new processing facility in Maharashtra, signing an MoU with the state government.

• Product Innovation: In January 2026, Karnataka Cooperative Milk Producers' Federation (KMF) launched a new range of Nandini products, including high-protein milk, probiotic lassi, and high-aroma ghee.

• New Launches: In November 2025, Milma introduced five new products including flavored milk cans and ghee halwa ahead of National Milk Day.

• Local Initiatives: In November 2025, the Ramgarh Gaushala announced plans to commence distribution of pure packaged cow milk, inaugurated by local industry leaders.

What is the Future Outlook for the Dairy Industry in India?

The future outlook of the Indian dairy industry is characterized by modernization and sustained growth driven by value addition.

The following are the key future projections as highlighted in the IMARC Group report:

• Massive Market Growth: The market is projected to reach INR 58,034.06 Billion by 2034, growing at a CAGR of 11.77%.

• Shift to Value-Added Products: The share of value-added products like cheese, yogurt, and functional drinks will continue to rise as consumer preferences evolve.

• Export Potential: Enhanced processing capabilities and quality standards are expected to open up new export opportunities to Middle Eastern and Asian markets.

Why IMARC Group is a Trusted Industry Authority:

• Global Strategic Partnership: We partner with clients across all sectors and regions to transform their businesses by addressing their most critical market challenges.

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• Advanced Methodology: Our expertise lies in identifying novel processing methods and delivering data-driven insights that empower organizations to stay ahead of the competitive curve.

Explore More Reports & Get Your Free Sample Now!

• Dairy Industry in Delhi: https://www.imarcgroup.com/dairy-industry-delhi/requestsample

• Dairy Industry in Punjab: https://www.imarcgroup.com/dairy-industry-punjab/requestsample

• Dairy Industry in Uttar Pradesh: https://www.imarcgroup.com/dairy-industry-uttar-pradesh/requestsample

• Dairy Industry in Tamil Nadu: https://www.imarcgroup.com/dairy-industry-tamil-nadu/requestsample

• Dairy Industry in Haryana: https://www.imarcgroup.com/dairy-industry-haryana/requestsample

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This release was published on openPR.