Cabinet Approves Revised National Programme for Dairy Development, Injecting Rs 1,000 Crore Boost
New Delhi, March 19 – In a major push for India’s dairy sector, the Union Cabinet, led by Prime Minister Narendra Modi, has approved the Revised National Programme for Dairy Development (NPDD). This ambitious Central Sector Scheme has received an additional Rs 1,000 crore, bringing its total financial outlay to Rs 2,790 crore for the 15th Finance Commission cycle (2021-22 to 2025-26).
The revamped NPDD aims to modernize and expand India’s dairy industry, focusing on sustainable growth, improved productivity, and better market access for farmers. By upgrading dairy infrastructure, streamlining supply chains, and enhancing quality standards, the program is set to increase farmers’ earnings through value-added products while driving economic growth in rural areas.
Key Features of the Revised NPDD
- Infrastructure Overhaul – The program will establish milk chilling plants, advanced testing laboratories, and strong certification systems, particularly benefiting underserved regions like the North Eastern Region (NER), hilly areas, and Union Territories (UTs).
- Expansion of Dairy Cooperatives – Support will be provided for new village-level dairy cooperative societies and the formation of two Milk Producer Companies (MPCs) through targeted grants, broadening the scheme’s impact.
- Dairying Through Cooperatives (DTC) Initiative – A collaboration with the Government of Japan and the Japan International Cooperation Agency (JICA), this component will promote sustainable dairy development across nine states: Andhra Pradesh, Bihar, Madhya Pradesh, Punjab, Rajasthan, Telangana, Uttarakhand, Uttar Pradesh, and West Bengal. The focus will be on strengthening production, processing, and marketing within the cooperative framework.
- Employment Generation – The revised NPDD is expected to create 3.2 lakh direct and indirect jobs, with women—who comprise 70% of the dairy workforce—standing to benefit significantly.
A Step Towards White Revolution 2.0
By aiming to establish 10,000 new dairy cooperative societies and enhancing processing capabilities in the NER, the NPDD marks a crucial step in India’s dairy modernization drive. The scheme aligns with the broader vision of White Revolution 2.0, which seeks to transform the dairy sector through cutting-edge technology, quality assurance, and cooperative growth.
This initiative is more than just an economic boost—it represents a bold step toward a stronger, more resilient dairy industry. With improved infrastructure, better price realization for farmers, and increased employment opportunities, India is reinforcing its position as a global dairy powerhouse while ensuring millions of rural stakeholders benefit from a more robust and equitable system.
