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Growth and Prospects of export of Dairy Products

milk production Oct 31, 2021

The changing food habits and growing income of the people are affecting overall demand for dairy products across the world. The global demand for value-added dairy products that offer health benefits (such as infant formula, flavored/fortified milks, cheese, etc.) are ever increasing. Consumption of cheese is growing in food service, thanks to pizza and burgers. The consumers of all age (young and old) are benefiting from naturally produced diary goods. Considering the future prospect there is a large potential untapped market for India.

The dairy area in the India has shown striking improvement in the previous decade. India is the largest producer of milk in the world with 22 per cent share in global milk production. In India, milk is produced mostly by small holders. Milk production contributes to household livelihoods, food security and nutrition. Milk gives moderately fast re-visitations of limited scope makers and is a significant wellspring of money pay.

Milk Production

Global Scenario

The worldwide milk creation during the year 2018 assessed by FAO is introduced in Table 1 and Fig.1.It shows that world conveyed 843 million tons of milk during the year 2018.India positioned first with 186 million tons of creation contributing 22.06% offer in worldwide milk creation followed by European Association (EU) (19.81%) which is a gathering of 28 little countries and USA (11.74%).

                                        Global  Milk Production (Table 1)

Indian Scenario

India's dairy improvement after freedom has been all around perceived as "white upset". The development underway and per capita accessibility of milk in India during last decade is introduced in Table 2. It shows that India produced 187.7 million tonnes of milk with per caipta availability of 394 g/ day during the year 2018-19.

The outcomes likewise show that milk creation in India has essentially ascended by 5.43% per annum during the period from 2009-10 to 2018-19.Essentially, per capita milk creation has likewise altogether expanded by 4.17% per annum during a similar period. Further, the growth in production as well as per capita availability had reported very low instability indicating very less volatility.

The state-wise production of milk in India during the year 2018-19 is presented in Table 3.It shows that Uttar Pradesh has arisen as the biggest milk delivering state in the country with 16.26% offer followed by Rajasthan (12.61%) and Madhya Pradesh (8.47%).Gujarat state situated fifth circumstance with 7.72% proposal in outright milk making of the country.

Export of dairy products

Global Scenario

The information showing significant trading and bringing in nations of dairy items during the year 2018 are portrayed in Table 4 and Fig. 2 and 3.

As indicated by FAO, The worldwide dairy trade market as displayed above is profoundly thought. EU remains the largest exporter of dairy products with a share of 27.33% followed by New Zealand (24.93%), USA (15.73%), Belarus (5.07%), Australia (4.13%), Argentina (2.67%) and Uruguay (2.13%). Together they accounted for about 82% share in world export. Though, merchants of dairy items were viewed as differentiated. China arose as the biggest shipper of dairy items on the planet with 19.47% offer followed by Mexico (5.60%) and Algeria (5.07%). Other large importers are Russia, Indonesia, Saudi Arabia, Philippines and many more.

In spite being the largest producer of milk in the world, India’s share in global dairy products export is negligible. As per APEDA, currently India’s share is only 0.36%. This may be due to very high domestic consumption and relatively higher domestic prices as compared to international prices.

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