Here is your step by step guide to starting a dairy farming business in India

A dairy farm business is generally considered an all-season opportunity because there is a constant demand for milk, as well as other dairy products, across the world. According to reports, milk production in India increases by more than 3% to 4% each year. Over the years, the dairy industry has grown to become a lucrative sector for entrepreneurs.

An individual who ventures into this business is generally expected to devote 14 to 18 hours a day to it. In addition to this, considerable efforts and useful resources are also required for the smooth running of a dairy farm. If you are considering starting a dairy farm, you should be aware of these factors:


The Department of Animal Husbandry, Veterinary and Dairy Development should be contacted first to open a typical individual dairy farm. There is no need to contact any other government agency if your farm is registered with the Dairy Cooperative Society.

To start a dairy farm, it is mandatory to register with the Food Safety and Standard Authority of India (FSSAI). If it is a large farm, approval from the pollution control office may be required. The requirements are set by the Bureau of Indian Standards for a dairy farm. These consist of the following elements:

BIS IS 11799:1986 (R2002): For livestock housing in rural areas

BIS IS 11942:1986 (R2002): For Gaushalas and other organized milk producers

BIS IS 12237:1987 (Reaffirmed 2004): For a loose housing system for animals

After the certifications, a businessman should consider a few factors, namely:

Outline a business plan that includes – mission, vision, location, land, livestock vaccination, shed, food and equipment.

Selection of livestock and its breed. You can either opt for popular buffalo breeds like Murrah, Mehsani, Surti and

Jaffarabadi or dairy breeds like Gir, Tharparkar and Sahiwal to name a few.

In case of loan, you can get a government grant under the Dairy Entrepreneurship Development Scheme, which is provided by the National Bank for Agriculture and Rural Development (NABARD)

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