Wednesday, October 8, 2025
HomeDairy NewsDairy FarmIndia Dairy Products Market Set to Reach USD 1.22 Billion by 2027

India Dairy Products Market Set to Reach USD 1.22 Billion by 2027

According to a report by Maximize Market Research, the India Dairy Products Market was valued at USD 804.77 million in 2021 and is forecast to reach USD 1,216.57 million by 2027, growing at a compound annual growth rate (CAGR) of 7.13% over the period 2022-2027. Key growth levers include increasing per capita milk product consumption, rising urbanization, better cold chain infrastructure, and expansion of modern retail and online distribution in India.

Market Size & CAGR: USD 804.77 million in 2021; expected to reach USD 1,216.57 million by 2027; CAGR of 7.13%.

Leading Product Segments: Milk remains dominant; Cheese is the fastest-growing segment among dairy products in India.

Distribution Channels: Hypermarkets, supermarkets, and especially online channels are growing; modern retail expansion supports market penetration.

Regional Strength / Market Dynamics: North India holds the largest share in the market as of 2021.

Drivers & Trends: Increased milk production; growing consumer awareness of dairy nutrition; demand for value-added dairy products (especially cheese); organized and modern retail penetration; improvements in supply chain and cold storage; rising incomes and urbanization. Restraints include logistical challenges, perishability, price sensitivity among rural consumers.

Top Players: Nestlé; Lactalis; Danone; Fonterra; Dairy Farmers of America; FrieslandCampina; Arla Foods/Saputo; Dean Foods; Yili; Mengniu; Unilever; Sodiaal; DMK; Savencia; Kraft Foods; Meiji; Schreiber Foods; Land O’Lakes; Muller.

Market Outlook
The India Dairy Products Market is projected to maintain steady growth through 2027, at a CAGR of 7.13%. Demand for milk will continue to be the foundation of the market, supported by increasing milk procurement from cooperatives and private players. However, cheese is expected to be the fastest-growing product segment, driven by urban consumers, Western food culture expansion (e.g., fast food, pizzas, snacks), and willingness to try new value-added dairy innovations.

Read More: Get more News from Dairy Sector

Improvements in cold chain infrastructure and refrigeration, coupled with better logistics, will reduce losses and improve distribution reach, even in semi-urban and rural areas. Online retail channels are emerging as a growth avenue, especially among younger consumers.

Regional Insights
North India currently holds the highest market share as of 2021. This region benefits from higher production, better infrastructure, and closer proximity to major markets.

Other regions are likely to follow as infrastructure improves, incomes rise, and organized dairy processing expands. However, variation in logistics, cold storage, and consumer purchasing power across regions will influence the pace of growth.

Key Players
The competitive landscape includes both large multinational dairy and food companies and strongly established domestic players. Key players profiled in the report include:

Nestlé

Lactalis

Danone

Fonterra

Dairy Farmers of America

FrieslandCampina

Arla Foods / Saputo

Dean Foods

Yili

Mengniu

Unilever

Sodiaal

DMK

Savencia

Kraft Foods

Meiji

Schreiber Foods

Land O’Lakes

Muller

These players are increasingly focusing on product innovation (e.g. flavored milk, processed cheeses), supply chain improvements, expanding distribution into smaller towns, and leveraging both online and offline channels to increase footprint.
Quote
“India’s dairy products market is entering a phase of diversification and value-addition,” said a senior analyst at Maximize Market Research. “While milk remains central, the growing appetite for cheese and other processed dairy coupled with expanding retail and e-commerce channels provides significant opportunity. A 7.13% CAGR through 2027 suggests that both domestic players and international investors can gain traction, especially by addressing infrastructure gaps and distribution inefficiencies.”

Join Our “Dairy & Food Jobs Updates” WhatsApp group

Stay informed on all the latest news updates

All Agriculture Books Free Download

All Dairy Technology Books Free Download

All Agricultural Engineering Books Free download

All Horticulture Books Free Download

All Fisheries Science Books Free Download

All BAU eBooks Free Download

For Daily Update follow us at:

Download Our Android App

Facebook                Telegram                  Whatsapp                   Instagram                    YouTube

The contents are provided free for noncommercial purpose such as teaching, training, research, extension and self learning.

If you are facing any Problem than fill form Contact Us

If you want share any article related Agriculture with us than send at info@agrimoon.com with your contact detail.

RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -

Popular Post

Popular Books

This will close in 0 seconds