Advantage India, But Dairy Needs Policy Depth

India’s growth narrative is often framed around manufacturing, services and global competitiveness, but the real Advantage India lies quietly in its farm economy — especially dairy, which supports over 8 crore rural households and acts as the most reliable source of daily cash income for farmers. As highlighted in Down To Earth, India’s economic resilience is deeply linked to how inclusively its growth model integrates agriculture and natural resource-based livelihoods.

Dairy stands out because it converts small landholdings, family labour and local resources into year-round income, unlike seasonal crops. Yet, despite being the world’s largest milk producer, India’s dairy sector continues to operate with thin margins, rising feed costs, climate stress and weak price signals for farmers. The Advantage India story risks remaining incomplete if these structural constraints are not addressed head-on.

The article underlines that growth without ecological balance, farmer profitability and decentralised value chains can hollow out rural economies. In dairy, this is visible through stagnant productivity, fodder shortages, heat stress on animals and inadequate investment in genetics, extension and cold chains. While urban consumption and organised dairy brands expand rapidly, farmer income growth remains uneven, exposing the gap between production leadership and value capture.

For India to truly leverage its advantage, dairy must move from a volume-centric model to a value- and income-centric strategy — focusing on animal productivity, climate-resilient fodder systems, transparent milk pricing and long-term policy visibility. Strengthening cooperatives, enabling private investment with farmer safeguards and aligning nutrition goals with farmer welfare are critical to sustaining this advantage.

Ultimately, India’s competitive edge is not just its scale, but its ability to align economic growth with farmer livelihoods and environmental sustainability. Dairy, sitting at the intersection of nutrition, employment and rural stability, will determine whether Advantage India becomes a lived reality for millions — or remains a headline narrative.

Source : Dairynews7x7 Feb 18th 2026  Read full story here

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Image credit : Gemini