India’s dairy exports soared by 80% in FY 2024-25, reaching $492.9 million, with volumes climbing to 113,350.4 metric tonnes—a 77.9% year-on-year increase. Key export destinations included the UAE, USA, Saudi Arabia, Bangladesh, and Bhutan. This growth is propelled by India’s standing as the world’s largest milk producer and a decade of consistent volume gains.
Industry Insights
Production & Export Momentum
India’s domestic milk output has surged from 146.3 million tonnes in 2014–15 to 239.2 million tonnes in 2023–24—an impressive 63.6% increase over ten years, averaging 5.7% per year compared to a global average of just 2% . This robust production base has served as the foundation for export scaling.
Export Growth and Global Footprint
The dairy export value of $492.9 million in FY 2024–25 up by 80%, paired with a 77.9% volume gain, underscores India’s growing presence in global dairy trade . The primary markets—UAE, USA, Saudi Arabia, Bangladesh, and Bhutan—reflect a mix of Gulf demand, expatriate-driven exports, and regional trade corridors .
| Value In USD Million | Qty In MT | |
| Products | 2024-25 | 2024-25 |
| Total | 514.19 | 1,16,281.48 |
| Dairy Products | 492.86 | 1,13,350.36 |
| Casein | 21.33 | 2,931.12 |
| Source: DGCIS | ||
Structural Enablers
India remains the world’s largest milk producer since 1998, contributing 25% of global milk output I. The scale of India’s dairy sector is immense—employing over 80 million people and contributing around 5% to the national economy, with many women-led rural operations . Government-backed programs such as the National Programme for Dairy Development (NPDD), interest subvention schemes for cooperatives, and initiatives like the Rashtriya Gokul Mission and cooperative networks have further reinforced both production and export capacities
Strategic Outlook & Future Opportunities
Despite impressive growth, India’s share in global dairy exports still lags—less than 1% compared to leaders like Germany, New Zealand, and the Netherlands . As global dairy demand accelerates, India is poised to ramp up its competitiveness by focusing on value-added products (VAPs) (e.g., specialty milk powders, cheese, butter variants), enhancing quality and consistency, and expanding into emerging markets beyond traditional buyers .
Macro Trade Context
This dairy export upswing is part of a broader export resurgence. India’s total goods and services exports in FY 2024–25 reached over $820 billion, with expectations of crossing the $1 trillion mark in FY 2025–26—driven by strong performances in agriculture, pharma, electronics, and other sectors alongside dairy .
Key Takeaways
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Export boom: Dairy exports surged 80%, both in value and volume, in FY 2024–25.
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Sustained production strength: Consistent annual milk growth and largest global producer status.
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Room to grow: Despite scale, India’s export share remains modest—ample potential for expansion.
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Strategic pivot: Value addition, export diversification, and quality enhancement are key to future growth.
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Broader momentum: Dairy is part of India’s larger ascent in global exports toward the trillion-dollar milestone.
Source : Dairynews7x7 Aug 21st 2025