Be Dairy: Boundless Potential. Endless Possibilities.

India's dairy industry, a colossal force in the agricultural landscape, has set its sights on international markets. As the largest global producer of milk, India boasts a remarkable growth rate, outpacing the global average substantially. The country's dairy sector, represented by its key players such as the Department of Animal Husbandry and Dairying (DoAHD), Food Safety and Standards Authority of India (FSSAI), National Dairy Development Board (NDDB), and National Dairy Research Institute of India (NDRI) along with Indian Dairy Association (IDA) recently made waves at the International Dairy Federation (IDF)'s World Dairy Summit 2023 in Chicago, USA. This grand occasion, held during 16^th to 19^th October, marked a significant milestone for India, showcasing its potential on the global dairy stage. The theme for this year was "BE Dairy: Boundless Potential. Endless Possibilities".

Four days of sessions were focused on exploring the latest developments in dairy science, technology, knowledge and innovation from all over the world. Notably, an Indian women's dairy organization, Shreeja, was honoured for innovation in women empowerment in the Dairy Sector. This accolade not only celebrated their achievements but also symbolized the potential within India's dairy landscape.

India's dairy industry stands at the brink of a transformative era, propelled by its impressive production figures and a global perspective. As the largest producer of milk globally, with a staggering 221 million tonnes in the year 2021-22, India has set the stage for significant strides in international markets.

With an ambitious vision, India is gearing up to produce over 25% of the world's milk by the coming year, a testament to its rapid growth. By 2047, this figure is expected to rise to a staggering 50%. This remarkable projection is not merely a statistic; it symbolizes India's potential to redefine the global dairy landscape.

From a global perspective also, the dairy industry that usually stands out of its nutritional component, now resonates with the phrase sustainable livelihood when we add Asian countries to the big picture. I have seen the industry grow by leaps and bounds over the last 3 decades, and this year's IDF conference was symbolic of the transformation of the global dairy industry with respect to the representation, the discussions and the insights revealed in all the sessions. One such example of this transformation was seen when buffalo milk was now being its due importance in the consideration set for analysis of milk production globally.

Another issue that was thoroughly discussed was the competition being posed to the dairy industry, especially in the Western countries with the rampant presence of plant-based alternatives. This competition is yet to pick pace in the Asian countries but has a sizeable share in the Western market. It is all the more surprising that despite higher levels of literacy, and widespread availability of information, the consumers are largely unaware of the nutritional benefits of pure dairy products.

Apart from the detailed discussions on this subject, a visit to the supermarket made threat to the global dairy market all the more evident to me. The dairy section in the supermarket had 2 dedicated shelves for plant-based alternatives vs 1 facing for milk. One of the most popular brands of almond milk, with the maximum facings claimed to be a rich source of calcium. The ingredient panel, however, had a different story to tell. Among other ingredients, the product has added sugar and calcium carbonate (limestone), potassium citrate. The product couldn't have been further away from the description of milk. It was simply a chemical mixture that has been emulsified, produced as factory output and being sold as milk.

The product has merely 0.4% of protein (1g in 240ml) as compared to milk that contains 3.5% of protein. Basically, an artificially emulsified chemical mixture with 1/7th of the milk's protein content, much less nutritional value is being sold at a premium price higher than pure milk.

The Big companies who are the owners and promoters of plant based beverages have vested interests in spreading misinformation about the nutritional value of these products. The sale of 1 litre plant based analogues vis-a-vis a litre of milk, brings in more profits for the companies, owing to the inexpensive ingredients such as soya and almond.

These FMCG giants have been leveraging their distribution network built over the years, at the cost of the profitability and livelihood of dairy farmers across the world and are promoting analogues in the name of milk.

And while there is huge media strength being used dedicatedly for the promotion of plant based analogues, the underlying truth still remains intact that "Taste" is the pivotal driving factor behind every consumer's purchase. Several presentations during the conference cited consumer surveys conducted in the USA stating that purchase behaviour for dairy products was driven by taste, nutritional value and affordability in that order. It is noteworthy how the Indian Food regulatory authorities are much more stringent with their policies in categorizing products as pure dairy products. The Indian Dairy association has had an important role to play in enforcing stricter rules for use of dairy related terminologies for dairy analogues.

A major allegation faced by the dairy industry, that came up prominently in the 4 day conference was the sector's contribution to global warming. Often the methane emission from cattle is cited as the primary contributors to global warming and it is used by the lobby promoting analogue products to tarnish the image of milk and milk products. However, the facts clearly state that agriculture contributes to 14% of the total emissions and animal husbandry contributes to merely 10% of the total emissions, which is perfectly manageable. 70% of the total emissions from animal husbandry can be easily cut down by 30% with balanced feed for the cattle. Similarly, effective manure management will lead to conversion to biogas and effective energy generation, which is successfully happening in India.

India is the largest producer of milk and yet the per capita emission of methane is of 1.8 MT per annum as compared to 17 MT per annum in developed regions of Europe and USA and 4.5 MT per annum of the global average. India stands at 1/10th of the level of emissions of the developed countries. It is evident where the scope of reduction actually lies.

Besides, it is imperative that consumers are made aware of the clear distinction between emissions resulting from activities generating livelihood for millions and emissions resulting from activities undertaken to support a luxurious lifestyle.

Recent trends of milk production show that the Southeast Asian countries are not just developing into major consumer markets but are also cultivating their own production capacities. Emerging markets in Asia, Africa, and the Middle East are clamouring for dairy products. Enhanced production capacities across different developing regions of the world will result in reduction of trade of dairy commodities and will encourage developed nations in nurturing local markets and appealing to domestic customers for enhanced consumption.

This conference was a platform for cross learning within the sector, but it was also an opportunity for a country like India to showcase its efficiency in building a sustainable livelihood sector for more than 8 cr households. The Indian dairy industry owes its success to the core principle followed by co-operative players - of keeping the farmers as well as consumers satisfied. An Indian farmer gets 70-80% of every rupee earned from the consumer as compared to 30-40% earned by a dairy farmer in developed countries.

With the world's appetite for dairy products steadily growing, India's surplus production aligns perfectly with this demand. By tapping into international markets, India can play a pivotal role in fulfilling the global need for high-quality dairy products. India, with its strategic proximity to SAARC & GCC countries, stands at an advantageous position to cater to this demand.

Additionally, health-conscious consumers abroad are increasingly seeking Indian dairy products, particularly ghee and Ayurvedic dairy supplements, due to their perceived health benefits.

To capitalize on these opportunities, India must invest in upgrading its infrastructure, adhere strictly to international quality standards, and embrace cutting-edge technology in dairy processing. Modernization not only ensures efficiency but also guarantees the quality of products, making them globally competitive.

In essence, India's dairy industry is not just a national treasure but a global asset waiting to be explored. By focusing on innovation, quality, and collaboration, India can transform its dairy sector from a domestic powerhouse to a thriving global enterprise, ensuring the world experiences the richness of Indian dairy heritage.