भाषा:

India’s milk production growth is expected to slow to 2% in 2027, mainly because of El Niño-linked drought. The forecast comes from the US Department of Agriculture’s Foreign Agricultural Service (FAS) in New Delhi, as reported on 1 November 2026. It projects India’s milk output at 226.5 million tonnes in calendar year 2027. Growth for 2026 is estimated at 2.5%. Drought can cut green and dry fodder and push feed costs up, which would hit small dairy farmers hardest.

Key facts

ItemDetail
Forecast bodyUSDA Foreign Agricultural Service, New Delhi
Milk production 2027226.5 million tonnes, growth about 2%
Growth estimate for 20262.5%
Cows in milk 2027Up 1.3% to 63.3 million
Fluid milk consumptionUp slightly more than 2% to 95 million tonnes
Milk to processingUp just under 2% to 131.5 million tonnes
Butter7.6 million tonnes, up 2.2%
Skimmed milk powder (SMP)810,000 tonnes, up 2.5%
SMP exportsDown about 50% to roughly 7,000 tonnes
Top milk statesUP, Rajasthan, MP, Gujarat, Maharashtra, Punjab (over 60% of output)

The report is a forecast, not a measured result. Treat the numbers as expectations that can change with rain and fodder conditions.

Why growth is slowing

The main driver named in the report is drought linked to El Niño. Poor rain reduces the area and yield of green fodder, and dry fodder such as straw also becomes scarce. Higher feed costs and heat stress can then limit what even a good animal gives. The report says the cattle numbers and breeding gains will help, but may not fully offset weather and feed pressure.

On the supply side, the report expects a shift towards higher-yielding crossbred cows and indigenous buffaloes, along with better breeding, husbandry and disease control. Cows in milk are projected to rise 1.3% to 63.3 million.

What it means for dairy farmers

For farmers, the message is that fodder, not demand, will be the pinch point. Six states produce more than 60% of India’s milk, and drought in any of them tightens supply. Slower supply growth can mean more competition among dairies to buy milk, which may support farm-gate prices, but a farmer only gains if feed costs do not eat the margin.

The report also says processors may see squeezed margins. For the farmer, a milk price rise is useful only when the cost per litre of milk stays under control. Silage, efficient use of feed and animal health services matter more in a drought year.

SMP exports are forecast to fall about 50% to roughly 7,000 tonnes, because domestic demand absorbs more supply and domestic prices rise. That points to a tighter home market.

What farmers should do now

  • Secure fodder early. Buy or store dry fodder and plan green fodder while prices are still manageable. Silage is a good way to hold green fodder.
  • Use feed efficiently. Weigh concentrate, balance the ration and avoid waste. Wasting expensive feed hurts more in a drought.
  • Keep water and shade ready. Heat stress lowers intake and milk. Cool, clean water and shade protect yield.
  • Protect rumen health. A stable rumen digests coarse fodder better, which matters when fodder quality is poor.
  • Track cost per litre. Note daily feed cost and milk. Cull or rationalise low-yielding animals only after checking the numbers.
  • Keep vaccinations and deworming on schedule. Weak, underfed animals fall sick faster.
  • Check your cooperative or dairy rates often. Prices may move as supply tightens.
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Frequently asked questions

What does the forecast say about India milk production in 2027?

USDA FAS projects 226.5 million tonnes, with growth slowing to about 2% from an estimated 2.5% in 2026.

Why is growth slowing?

The report points to El Niño-linked drought, which can cut fodder, raise feed costs and add heat stress.

Is this a confirmed result?

No. It is a forecast, and actual output will depend on rain, fodder and feed prices.

Source: Dairy News 7×7, citing USDA FAS, 1 Nov 2026. Written by the IMN Pyrophos team in our own words.

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