The recently presented Union Budget for 2025-26 has brought forth a mix of developments for the Indian dairy sector. While there are commendable initiatives, certain areas warrant our attention and proactive engagement.

Budget Allocation Overview
The Ministry of Fisheries, Animal Husbandry, and Dairying has been allocated Rs.7,544 crore, constituting approximately 0.148% of the total governmental expenditure. This allocation reflects a modest increase compared to previous years. Notably, the Department of Animal Husbandry and Dairying has seen its budget rise to Rs.4,840.40 crore for 2025-26, up from Rs.4,521.24 crore in 2024-25.

Key Initiatives and Observations
National Programme for Dairy Development (NPDD): The allocation for NPDD stands at Rs.1,790 crore. While this supports various developmental activities, there remains a need for enhanced focus on infrastructure development within the dairy sector.

Infrastructure Development Fund: An allocation of Rs.460 crore has been made to bolster infrastructure projects. However, the dairy sector requires more substantial investments to modernize and expand its capabilities effectively

Loan Limit Enhancement: The increase in the loan limit under the Modified Interest Subvention Scheme from Rs.3 lakh to Rs.5 lakh for loans taken through Kisan Credit Cards is a positive step. This move is expected to benefit approximately 7.7 crore farmers, including those in the dairy sector, by facilitating greater financial access.

Saksham Anganwadi and Poshan 2.0 Scheme: The integration of milk into nutritional programs under this scheme presents an opportunity to reinforce milk's role as a complete food, ensuring nutrition security for children and women.

Support for Women, SC, and ST Farmers: A new scheme targeting five lakh women, Scheduled Caste (SC), and Scheduled Tribe (ST) farmers aims to empower more women in the dairy sector, promoting a transition towards women-led dairying initiatives.

Call to Action
Despite these initiatives, the dairy sector's representation in the budget remains limited relative to its substantial contribution to agriculture and the economy. This underscores the necessity for the dairy community to more effectively communicate its concerns and requirements to policymakers. Collaborative efforts are essential to advocate for increased investments, particularly in infrastructure development, to sustain and enhance the growth of our sector.

According to data released by Department of Animal Husbandry and Dairying, the Gross Value Addition (GVA) in the livestock sector is Rs. 17.25 lakh crore, with dairy contributing Rs. 11.16 lakh crore. Over the last decade, the livestock sector's average growth rate was 13%, compared to 2% for crops and 13.7% for fisheries.

The Indian dairy sector plays a crucial role in ensuring the livelihood of millions of farmers. As global trade negotiations evolve, it is imperative that we safeguard the interests of our dairy producers while maintaining a fair and balanced approach to trade.

Recent discussions around a proposed India-US Bilateral Trade Agreement (BTA) indicate that the US is seeking greater access to our dairy and agricultural markets.

However, India has historically maintained import duties of 30-60% on most dairy products, ensuring that our domestic production remains viable. Given the scale of our dairy industry and the livelihoods it supports, a cautious and well-evaluated approach to tariff adjustments is necessary

The Indian Dairy Association (IDA) has actively contributed its inputs to these discussions. Our stance is clear-India must protect its farmers from the risks of excessive imports, which could disrupt local production and affect our journey towards self-sufficiency. While global trade is important, we must not compromise on policies that sustain our dairy ecosystem and support the hard work of our farmers.

A major concern is the decline in the milk production growth rate, which has fallen from 5-6% to 3.8%, marking a 40% reduction. Previously, it was estimated that India's milk production would triple in 25 years with a steady 4.7% growth rate, but the current slowdown makes this target challenging. If this trend continues, it could impact India's self-sufficiency and global leadership in dairy production.

At IDA, we are committed to engaging with government bodies, stakeholders, and the broader community to ensure that the dairy industry's voice is heard, and its needs are addressed in future policy formulations.

The IDA was honoured to host a high-level delegation from the Embassy of the People's Republic of China at our Head Office in New Delhi. The delegation, led by Mr. Tang Zhishao, First Secretary, engaged in insightful discussions with the IDA leadership.

During the meeting, I had the opportunity to present an overview of India's dairy sector, highlighting its growth, farmer-centric cooperative model, and evolving technological landscape. The discussions also explored potential areas of collaboration between the two nations, emphasizing knowledge exchange, innovation, and trade opportunities that could be mutually beneficial.

India and China, as two of the world's largest dairy markets, share common challenges and opportunities. Strengthening cooperation in this sector can lead to improved efficiencies, sustainable practices, and better market access for dairy stakeholders from both countries.

It is with immense pride and joy that we extend our heartfelt congratulations to Shri R.G. Chandramogan, Chairman of Hatsun Agro, on being conferred the prestigious Padma Shri Award 2025!

His extraordinary journey, marked by resilience and excellence, has not only strengthened India's dairy sector but also uplifted countless dairy farmers, ensuring their prosperity and sustainability. Earlier, during the 50th Dairy Industry Conference held at Hyderabad, he was conferred with the IDA Lifetime Achievement Award, recognizing his decades of service and ground-breaking contributions to the industry.

On behalf of the Indian Dairy Association, we salute Shri Chandramogan's unwavering commitment to excellence and extend our best wishes for his continued success in shaping a brighter future for Indian dairying.

It gives me immense pleasure to invite you to the 51st Dairy Industry Conference, organized by the IDA, scheduled to be held at Samrat Ashoka Convention Centre, Patna, from March 6-8, 2025. This prestigious event will bring together dairy professionals, industry experts, researchers, policymakers, and milk producers from across India and beyond to deliberate on ways to strengthen the dairy sector and enhance farmers' income.

The theme for this year's conference, "Indian Dairying: Global Growth; Local Strength," reflects India's commitment to leveraging its robust dairy ecosystem while embracing global opportunities. The conference will serve as an invaluable platform for networking, knowledge exchange, and discussions on cutting-edge advancements in the industry.

To mark this grand occasion:

• A Souvenir will be published, featuring technical and scientific papers presented at the conference, along with advertisements from key industry players.
• An Exhibition will showcase the latest innovations and developments in dairy and allied industries, providing a unique opportunity for stakeholders to explore new technologies and solutions.
• A Poster Session will highlight recent research findings, offering insights into emerging trends and scientific advancements in the dairy sector.

We warmly invite you to participate in this landmark event and make it a resounding success. Your presence and active involvement will enrich the discussions and contribute to shaping the future of Indian dairying.

We look forward to your enthusiastic support and presence at the 51^st Dairy Industry Conference in Patna.