The organized dairy sector deals with only about 20 per cent of the total milk production of the country, and yet dominates the packaged liquid milk market (98%), supplying quality milk through an established network. It maintains the balance between milk-deficit regions and milk-surplus regions. Growing awareness in the Indian consumer about the quality aspects of milk and milk products has brought the organized dairy sector into the foreground. There is also an increasing demand for packaged traditional Indian dairy products, the production of which is still dominated by the unorganized sector. Organized dairy industry has only just begun to realize its vast potential in this area (with the introduction of packaged dahi, kheer, and lassi in tetra pack, etc.). It has been estimated that by 2011 milk production in India would touch 120 million tonnes, which would earn the dairy farmers a sum of Rs 1,771,000 million. After passing though the value chain, the produced milk and milk products would fetch revenue to the tune of Rs 5,207,800 million to the dairy industry. With such a mammoth volume of milk to be dealt with, the organized dairy sector needs to look within, and convert its challenges into capabilities. Use of ICT tools can give the much needed boost to the dairying sector.
