Hyderabad: Telangana is stepping up efforts to increase milk production, strengthen dairy farmers and move towards greater self-reliance in milk production, Dairy Minister Vakiti Srihari said in the state Assembly.
Replying to questions during Question Hour on September 11, the Minister outlined the governmentās measures aimed at strengthening the stateās dairy sector and improving milk availability. According to the figures presented in the Assembly, Telangana produced 59.35 lakh tonnes of milk during 2024-25.
Milk production is expected to increase further during the current financial year. The state has projected production of 61.75 lakh tonnes for 2025-26, representing an increase of around 2.4 lakh tonnes compared with the previous year.
The Minister also provided an indication of production during the ongoing 2026-27 financial year. Based on estimates for the first six months, milk production was expected to be around 30 lakh tonnes.
| Period | Milk Production |
|---|---|
| 2024-25 | 59.35 lakh tonnes |
| 2025-26 | 61.75 lakh tonnes projected |
| First six months of 2026-27 | Around 30 lakh tonnes estimated |
Focus on Dairy Farmers
The governmentās approach, according to the Minister, is not limited to increasing overall milk production. It is also focused on strengthening dairy farmers and supporting the broader dairy ecosystem.
A key measure highlighted by Srihari was an increase in the milk procurement price through Vijaya Dairy. The revised procurement price has been made effective as part of the governmentās efforts to support dairy farmers and encourage milk production.
Higher procurement prices can play an important role in the organised dairy sector by improving the returns received by farmers for the milk they supply. For dairy producers, procurement prices are an important factor in determining the attractiveness of dairy farming and the regular supply of milk to organised processors.
Moving Towards Self-Reliance
Telanganaās stated objective of becoming self-reliant in milk production comes against the backdrop of rising importance of organised dairy supply chains. Increasing domestic milk production can help strengthen the availability of raw milk for processing while supporting farmers connected to organised procurement networks.
The production figures presented by the government show a positive trajectory. From 59.35 lakh tonnes in 2024-25, output is projected to rise to 61.75 lakh tonnes in 2025-26. The estimated production of around 30 lakh tonnes in the first six months of 2026-27 also indicates continued substantial milk output in the state.
The governmentās measures are therefore expected to focus on both sides of the dairy ecosystemāimproving production and strengthening farmer participation in organised procurement.
Vijaya Dairy’s Role
Vijaya Dairy, the state-linked dairy brand, remains an important part of Telanganaās organised dairy sector. The decision to increase its milk procurement price is significant because procurement directly connects dairy farmers with formal processing and distribution channels.
For farmers, stronger procurement mechanisms can provide a more structured market for their milk. For the state, improving organised procurement can contribute to a more stable dairy supply chain and support the broader objective of increasing milk availability.
Telanganaās latest production targets indicate that the state is seeking to build on its existing dairy base while improving farmer support. With production projected to rise and procurement prices being revised, the government is positioning dairy development as an important component of its agricultural and rural economy strategy.
The coming production figures for 2026-27 will provide a clearer indication of whether the state can maintain its growth trajectory and move closer to its goal of greater self-reliance in milk production.