Mumbai: A looming LPG supply crunch is raising serious concerns for the dairy sector, particularly in Maharashtra, where industry players warn of disruptions in milk processing and packaging.
Dairy operators report that factories manufacturing milk packets and cartons are facing reduced gas supplies, directly impacting production. As a result, the availability of essential packaging materials is shrinking, threatening the smooth distribution of milk.
Packaging Shortage Emerges as Key Concern
According to industry sources, current stocks of plastic milk packets and cartons may last only about 10 days. This shortage is not due to lack of milk production—but because packaging units are unable to operate at full capacity without adequate LPG supply.
Devendra Shah, founder and president of Govardhan Dairy, stated that packaging manufacturers are struggling due to insufficient gas availability, making milk packets increasingly difficult to procure.
Impact on Milk Processing
The LPG shortage is also affecting key dairy operations such as:
- Milk pasteurisation
- Processing and heat treatment
- Packaging and storage
Without consistent energy supply, even well-functioning dairies risk slowing down operations.
Global Factors Behind Crisis
The disruption is being linked to geopolitical tensions in West Asia, particularly involving the United States, Israel, and Iran. The resulting energy uncertainty has tightened LPG supply chains, impacting multiple industries—including dairy.
Read More: Cautious Buying Shapes Latest Global Dairy Market Trends
Industry on Alert
After already affecting hospitality and food sectors, the LPG crisis is now threatening to spill over into the dairy supply chain. If the situation persists, consumers could soon face:
- Milk supply disruptions
- Price increases
- Limited availability of packaged dairy products
What Lies Ahead
Experts warn that unless LPG supply stabilizes quickly, the dairy industry could face short-term operational bottlenecks. Immediate interventions in energy allocation and supply chain management may be required to prevent a larger crisis.
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