India is the world’s largest milk producer, yet its share in global dairy trade remains disproportionately low. This article examines the structural, institutional and policy factors underlying this paradox over the period 2000 to 2024. Drawing on trends in production, export-import performance and indicators such as Nominal Protection Coefficient (NPC) and Revealed Comparative Advantage (RCA), the study finds a persistent divergence between production growth and export competitiveness. The predominance of smallholder production, domestic price stabilization priorities and fragmented value chains continue to constrain global market integration. The article argues that scale alone is insufficient to ensure competitiveness and calls for a strategic shift towards value-added, export-oriented dairy development supported by quality infrastructure, policy alignment and market diversification.
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