On behalf of the Indian Dairy Association (IDA), I extend a warm welcome to Shri Rajiv Ranjan Singh, the Hon'ble Union Minister of Fisheries, Animal Husbandry, and Dairying, as well as Prof. S.P. Singh Baghel and Shri George Kurian, the Hon'ble Ministers of State of Fisheries, Animal Husbandry, and Dairying, under the leadership of Prime Minister Narendra Modi's government. There is great anticipation and hope that this new administration will prioritize the welfare of our farmers and work towards their prosperity.

As we assess the current state of the dairy industry, it is evident that while the prices of dairy products this year have remained relatively stable or have seen slight increases in some locations, the prices received by farmers for their milk are either stagnant or have decreased compared to the previous year. This discrepancy is a cause for concern as it directly impacts the livelihoods of our dairy farmers and the future production of milk.

One of the critical issues facing our dairy farmers is the rising cost of inputs due to inflation. Despite the stable market prices for dairy products, the costs associated with feed, fodder, veterinary care, and other essential supplies continue to climb. This imbalance places a significant strain on farmers, who are struggling to cover their operational expenses and sustain their livelihoods.

If this trend continues, it will inevitably affect milk production in the coming years. Farmers, unable to cope with increasing costs and receiving inadequate returns, may reduce their herd sizes or even exit dairy farming altogether. This potential decline in milk production poses a threat not only to the dairy sector but also to the broader goal of food security and rural employment in India.

The debate over reducing import duties on dairy products has resurfaced, with industry voices calling for lower tariffs to foster competitiveness. However, it is crucial that the Government of India resists these demands to ensure the prosperity of our farmers and the reduction of urban-rural disparities. The prosperity of our rural economy hinges on remunerative prices for rural produce, which can only be achieved through supportive policies that prioritize farmers' interests.

The rural economy will thrive only if there is a substantial flow of money into villages. This financial influx is contingent on better pricing for agricultural produce, given that productivity growth remains modest at 1.5-2%. Ensuring fair prices for farmers is essential for sustaining their livelihoods and boosting rural economic activities. Lowering import duties on dairy products would undercut domestic prices, adversely affecting farmers who are already grappling with rising costs of production.

To mitigate the impact of higher food prices on the lowerincome population, a logical step would be to increase minimum wages. However, this adjustment has its own set of challenges. Raising wages can impact the profitability of industries and corporations, leading to resistance from these sectors. The current approach to controlling food inflation seems to be driven by a desire to maintain lower wages, thereby boosting industry profits at the expense of farmers' incomes.

In this complex economic interplay, it is evident that farmers are bearing the brunt of policies aimed at keeping food prices low. By suppressing agricultural prices, we are inadvertently hampering the financial well-being of the very segment that forms the backbone of our rural economy. This approach is neither sustainable nor fair, as it places an undue burden on farmers while facilitating profitability for the industrial sector.

Despite the country's population growing two and a half times over the last five decades, milk production has increased tenfold. This incredible achievement underscores the importance of milk in the daily diet of an average Indian. A full day's meal for an average Indian costs Rs. 85, out of which Rs.17 is spent on milk and milk products, making up approximately 20% of their daily food expenditure.

This milestone has been reached without the benefit of subsidies, Minimum Support Price (MSP), or power subsidies. The success story of India's dairy farmers stands as a testament to their resilience and innovative spirit. The world's recognition of this accomplishment highlights the efficiency and dedication of our dairy farmers.

In India, 70-80% of what consumers pay for milk goes directly into the pockets of these farmers, thanks to a competitive and efficient supply chain. Dairy farming is a unique business that thrives even in rural areas, providing a sustainable income for small and marginal farmers. Looking ahead, the dairy industry is poised for significant growth over the next 25 years.

To continue this upward trajectory, it is crucial for policymakers and political leaders to recognize the role of dairy farmers in achieving food security and enhancing livelihoods. The primary challenge for these farmers is to reduce the cost of milk production, which can be addressed through better feeding and breeding practices and the adoption of next-generation farming techniques. Such improvements can ensure a prosperous future for the next generation of dairy farmers.

India's prosperity should not come at the cost of our farmers. By maintaining import duties and implementing supportive measures, we can create a more balanced and equitable economic environment. Farmers deserve to share in the nation's growth, and their well-being is essential for the overall development of our rural economy.

The Indian Dairy Association stands ready to collaborate with the new government in implementing these measures to safeguard the interests of our dairy farmers. By ensuring that they receive fair compensation and support, we can create a sustainable and prosperous dairy sector that contributes to the overall economic development of the country.

IDA promotes dairy sector by providing platform to showcase their innovative technological interventions during various national and regional level seminars, workshops and conferences throughout the year. One of such pivotal seminars was hosted recently by IDA on 'Technological Interventions in Indian Dairy' at Yashobhoomi (IICC), Dwarka, New Delhi. This seminar, aligned with the Inter FoodTech exhibition, served as a robust platform for discussing the latest technological advancements within the dairy sector. As the President of the IDA, it was my honour to deliver the Keynote address and highlight the significance of technological progress and government support for the industry's future growth and global competitiveness.

Prior to the above Seminar, IDA proudly celebrated World Milk Day on June 01, 2024 with a series of vibrant activities and events organized through its zones and chapters across the nation. On this World Milk Day, our heartfelt congratulations and gratitude are directed towards India's 80 million dairy farmers. It is their relentless dedication and hard work that have transformed India from a milk-deficit nation into the world's largest milk producer today. Milk has become India's largest crop, contributing Rs.14 trillion over the last 50 years.