Indian dairy exports top $500 million trace, at eight-year high
Indian dairy products exports have reached an eight-year high, crossing $500 million.
There has been a massive increase in Indian dairy exports in FY 2022 as compared to the same period a year ago. It has registered a growth of 93% in terms of value and 63% in terms of quantity.
Reasons for the increase in exports:
- There has been an increase in the demand for both commodity and value added dairy products.
- Global prices have registered an increase.
- Feeding costs are rising in dairy-rich countries, while fertilizer shortages are being observed.
- Due to this the demand for Indian dairy products has increased.
In addition to the above, the following initiatives have also helped strengthen the Indian dairy sector:
- Dairy Processing and Infrastructure Development Fund: Under this, concessional loans at the rate of 6.5% are provided to milk cooperatives facing capital crunch.
- Animal Husbandry Infrastructure Development Fund: It helps in increasing meat processing capacity, and product diversification.
- National Dairy Development Programme: It helps to build and strengthen dairy infrastructure for procurement, processing and marketing of milk and milk products.
- Kisan Credit Card (KCC): Through this, adequate and timely credit assistance is provided to the livestock farmers from the banking system.
- Production Linked Incentive Scheme for Food Processing Industry: This has been announced to encourage the manufacture of Mozzarella Paneer.
- 100% FDI has been allowed in the animal husbandry sector through the automatic route.
India ranks first in milk production. India accounts for 20% of the total global milk production. It provides employment to 8 crore people.
Source – The Hindu
