Govt creates dairy investment accelerator for scaling up investment
New Delhi: July 19: The Narendra Modi government on Monday announced the setting of ‘dairy investment accelerator’ for dedicated focus towards promoting and facilitating investments in the dairy sector.
The new set up will function under the Investment Facilitation Cell of the Department of Animal Husbandry & Dairying (DAHD), primarily to serve as an interface with investors, said a government statement.
Its role will be to offer specific inputs for evaluation of investment opportunities, address queries about application of govt schemes and to connect with strategic partners. Besides, it will be providing on-ground assistance with state departments and relevant authorities.
“Along with these, the dairy investment accelerator will work with DAHD to organize a series of events with global and local industry participants and one-on-one discussions with the investors to understand their perspectives, facilitate direct interactions with government officials and connects with other players in the industry,” the statement said.
The decision to set up the accelerator is manifold. India is the largest milk producer contributing 23% of global milk production. The annual milk production in the country has grown by 6.4% (CAGR) in the past 5 years.
Dairy is also a high priority sector for the government due to its socio-economic significance. It is the single largest agricultural commodity contributing 5% of the national economy and employing 80 Mn+ farmers directly.
The market growth in dairy, therefore, requires support of significant infrastructure investment across processing, chilling, logistics, cattle feed etc, something which the new set up can help to achieve.
The country also boasts a large domestic packaged dairy products of market worth Rs. 2.7-3.0 lakh crore witnessing a strong double-digit growth.