ajkot, Gujarat | December 23, 2025: Nearly six years after India’s first branded camel milk debut under Amul, the much-celebrated dairy innovation is facing an uncomfortable reality—strong health claims, weak consumer demand, and shrinking breeder optimism.
Originally procured and processed by Sarhad Dairy in Kutch and marketed nationwide by Amul, camel milk was launched in 2019 amid major publicity, promoted as a nutritional powerhouse and a livelihood booster for camel breeders in arid regions.
But the market verdict? Interesting on paper. Indifferent on the palate.
Procurement Stagnant, Expansion Shelved
Sarhad Dairy had outlined ambitious plans to source camel milk from Kutch, North Gujarat, and Rajasthan. Those plans never moved beyond press releases.
- 2019–20 procurement: ~4,200 litres/day
- Current procurement (2025): 5,000–5,500 litres/day
- Supplier base: ~350 breeders, negligible growth
Even in Kutch, breeders report that the dairy has been unable to absorb total available milk, citing limited product availability and low marketing priority.
Value-Added Portfolio Grows, But Not the Market
Amul expanded the camel milk line to include:
- Tetra-pack milk
- Flavoured milk
- Ice cream
- Chocolates
However, demand has remained steady rather than rising—a corporate way of saying: “Not tanking, but not taking off either.”
‘Loss-Making Business’—Sarhad Dairy Chairman
Sarhad Dairy chairman Valamji Humbal acknowledged the strain:
“It is a loss-making business for us. We are paying Rs 51 per litre, which is very high. Since demand hasn’t increased, we cannot procure 25–30% more milk. We even turn away breeders.”
Read More: From 2 Cows to 35 Cattle: Amandeep Kaur Leads Dairy Revolution in Barnala
Breeders Struggle With Access, Buyers, and Geography
Local breeder voices paint a harsher ground reality:
- Nurmamad Mohadi (Abdada, Kutch): Owns 20 camels, produces 10–20 litres/day, unable to sell due to no nearby procurement centers
- Lakha Rabari (Devbhumi Dwarka): 25+ breeders in his area have no buyers
- Lakha Rabari’s expectation: Procurement expansion beyond Kutch did not happen
- Impact: Loss of a potentially stable income source
NGO Flags Marketing Neglect
Kavita Mehta, Executive Director of Sahjeevan, the NGO that originally connected breeders with Sarhad Dairy, noted:
“Infrastructure exists, but marketing efforts are insufficient. 5,000 litres/day is tiny for a dairy giant. A niche product like this isn’t likely their priority.”
Key Takeaways
- Supply chain ready. Market appetite not.
- Breeder price high (₹51/L), but volume ceiling reached.
- Expansion beyond Kutch shelved.
- Consumer adoption stagnant—taste, awareness, and availability bottlenecks remain.
- Livelihood impact significant, sectoral impact negligible.
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Disclaimer
I do my best to share reliable and well-researched market insights but occasional errors or omissions may slip through. Please view all content as informational.
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