In an article on The Hindu website, the paper of the National Council of Applied Economic Research (NCAER), which is charged with preparing India’s GDP, noted that in the past, India had been known for being “the milk of cow”.
“But this has been a myth created by those in the BJP and its allies to claim that India is becoming a cow-producing country,” it said.
“In fact, in many ways, India has become a nation of dairy products.”
It also pointed out that a large number of the national milk production comes from cattle, and that the national herd in the country is more than 30 million.
The NCAER study also said that India’s dairy products are not cheap.
The report said that a family of four in India spends an average of Rs2,000 on dairy products a year, with the average cost for the same family being around Rs10,000.
According to the NCAERS, India spends around Rs2.1 lakh per capita on the production of dairy product, with a large chunk of this going to subsidise the cost of production.
The research said that the cost per litre of milk in India is around Rs0.08 per lit, while in the United States it is around $0.20.
The report said the cost for milk production is likely to increase over the next five years, with demand expected to increase by 30% to 40%.
“Over the next decade, India’s domestic market is expected to grow at a compound annual growth rate of 9.5% per annum.
As per the latest estimates, demand for domestic milk is expected at 6.8% per year by 2031,” it added.