Animal Husbandry and Dairy: Economics and Policy
GS3 · Food Processing and Allied Sectors
Livestock in the rural economy
Growth: livestock has been the fastest-growing part of agriculture. Its GVA grew at about 8% a year (at constant prices) between 2014–15 and 2022–23 (Economic Survey). It now contributes about 30% of agriculture's GVA and about 5.5% of total GVA.
Who keeps livestock: most livestock is owned by small and marginal farmers and the landless. Women do a large share of the work. Livestock provides:
- regular income from milk and eggs;
- insurance against crop failure, since animals can be sold;
- draught power and manure.
The 20th Livestock Census (2019):
- total livestock about 53.6 crore, up 4.6% from 2012;
- bovines (cattle, buffalo, mithun, yak) about 30.3 crore;
- poultry about 85 crore.
The 21st Livestock Census was conducted in 2024–25; use its figures when they are released.
India has the largest livestock population in the world, with the most cattle and buffalo, and is second in goats.
Dairy: the White Revolution
Operation Flood (1970–1996): launched by the National Dairy Development Board (NDDB, 1965) under Dr. Verghese Kurien, the "father of the White Revolution". It replicated the Anand pattern of cooperatives (village society, district union, state federation), modelled on Amul (1946, Kaira District). It linked rural milk producers to urban markets, using EEC food aid for funding.


The results:
- India became the world's largest milk producer in 1998, overtaking the US;
- production reached about 239 million tonnes in 2023–24, about a quarter of world output;
- per capita availability is about 471 g a day, against the ICMR-recommended 300 g.
Leading states: Uttar Pradesh, Rajasthan, Madhya Pradesh, Gujarat and Andhra Pradesh.
Productivity: yield per animal is low. Indian cows average about 8–9 kg a day (crossbred) and about 3–4 kg (indigenous), against much higher figures in developed countries. The causes are poor genetics, feed and fodder shortages (deficits of green and dry fodder), and weak veterinary care.
Schemes:
- the Rashtriya Gokul Mission (2014): conservation and genetic improvement of indigenous breeds (Gir, Sahiwal, Red Sindhi, Tharparkar), sex-sorted semen, IVF, and Gopal Ratna awards;
- the National Programme for Dairy Development;
- the Dairy Infrastructure Development Fund;
- the Animal Husbandry Infrastructure Development Fund (2020);
- National Dairy Plan, Phases I and II (World Bank).
White Revolution 2.0 (2024) aims to expand cooperative coverage to uncovered villages and raise cooperative milk procurement by 50% over five years.
Animal health
Disease burden:
- foot-and-mouth disease (FMD);
- brucellosis;
- lumpy skin disease, which killed about 1.9 lakh cattle in 2022, mainly in Rajasthan and Gujarat; the indigenous Lumpi-ProVacInd vaccine was developed in response;
- avian influenza;
- African swine fever (in the North-East since 2020).

National Animal Disease Control Programme (NADCP, 2019): 100% central funding to vaccinate cattle, buffalo, sheep, goats and pigs against FMD and bovine calves against brucellosis. The aim is to control FMD by 2025 and eradicate it by 2030.
Other measures:
- mobile veterinary units (2022);
- the Pandemic Fund project for animal health (2024);
- the One Health approach linking human, animal and environmental health. Most emerging human diseases are zoonotic. India set up the National One Health Mission in 2024 and the National Institute of One Health at Nagpur.
Poultry, small ruminants and others
Poultry: India is the third-largest egg producer in the world (about 142 billion eggs, 2023–24), and a major broiler producer. Production is dominated by integrators under contract farming in Andhra Pradesh, Tamil Nadu, Telangana and Maharashtra.
Goats and sheep: sometimes called the "poor man's cow" (goats). They provide meat, wool and pashmina (changthangi goats in Ladakh).
Meat exports: India is among the largest bovine meat (carabeef) exporters. Buffalo meat goes mainly to Vietnam, Malaysia and Egypt.
Other schemes: the National Livestock Mission (restructured 2021, focusing on entrepreneurship in poultry, sheep, goat, pig and fodder), and the Livestock Health and Disease Control Programme.
Issues and debates
Stray cattle: cattle slaughter bans in many states (Article 48 of the Directive Principles directs the state to prohibit the slaughter of cows and calves and improve breeds) have led to unproductive animals being abandoned. They damage crops (especially in UP and Rajasthan) and cause road accidents. Gaushalas are overburdened.
Fodder: India has a fodder deficit of about 11% green, 23% dry and 29% concentrates (IGFRI estimates). Grazing commons have shrunk.
Environment: methane emissions from enteric fermentation are a significant part of India's agricultural emissions. Feed additives and better nutrition can reduce them.
Antimicrobial resistance: antibiotic overuse in poultry and dairy contributes to AMR. FSSAI limits antibiotic residues, and colistin was banned as a growth promoter in poultry in 2019.
Analysis
Livestock is the most inclusive growth engine in agriculture: it benefits the landless and women, and its demand is rising.
What it needs:
- better breeding and feed;
- disease control;
- more cooperative and private processing;
- insurance;
- market access for small producers.
Common prelims traps
- India became the largest milk producer in 1998.
- NDDB was set up in 1965; Operation Flood began in 1970.
- Rashtriya Gokul Mission focuses on indigenous breeds.
- Article 48 is a Directive Principle, not a fundamental right.
Quick self-test
- *What is the Anand pattern?* A three-tier cooperative dairy model: village society, district union and state federation.
- *Why do livestock matter for equity?* Ownership is more equal than land ownership.
- *What is a zoonosis?* A disease that passes from animals to humans.
Practice: Mains question
*"Animal husbandry has the potential to be the engine of inclusive rural growth." Discuss the opportunities and challenges. (250 words)*
Cooperative versus private dairy
Organised milk processing: cooperatives (Amul, Nandini, Aavin, Mother Dairy) and private dairies each handle a large share of the organised segment. A large share of milk is still sold in the unorganised sector, by vendors and directly to consumers.
What cooperatives do well: they give producers a higher share of the consumer price, often about 70–80%, and provide services (veterinary care, artificial insemination, feed) and stable procurement.
Inter-state rivalry: in 2023 a political row erupted over Amul's entry into Karnataka, the market of the state cooperative Nandini. This raised questions about cooperative federalism and market competition.
Multi-State Cooperative Societies (Amendment) Act 2023: it improves governance of multi-state cooperatives, including elections by the Cooperative Election Authority.
Biotechnology in livestock
- Sex-sorted semen, which produces about 90% female calves, helps avoid unwanted male calves. Indigenous sorting technology developed in India has reduced the cost per dose.
- IVF and embryo transfer speed up genetic improvement of high-yielding indigenous breeds.
- Genomic chips (INDUSCHIP for cattle, BUFFCHIP for buffalo) help select superior animals.
These technologies can raise yields faster, but they should conserve breed diversity.
Key terms
- Artificial insemination: introducing semen from selected bulls to improve breeds.
- Crossbred cattle: offspring of exotic (Holstein Friesian, Jersey) and indigenous breeds.
- Draught animal: an animal used for ploughing or transport.
- Fodder: green or dry feed for livestock, such as berseem, maize stover and wheat straw.
- Livestock GVA growth ~8% (2014–23); ~30% of agricultural GVA; 20th Livestock Census 2019: 53.6 crore (21st in 2024–25)
- Operation Flood 1970–96 (NDDB 1965, Kurien, Anand pattern, Amul 1946); largest milk producer since 1998; ~239 MT (2023–24); ~471 g/day per capita; UP leads
- Rashtriya Gokul Mission 2014 (indigenous breeds); NADCP 2019 (FMD, brucellosis); lumpy skin 2022; One Health
- Eggs ~142 bn (3rd); carabeef exports; Article 48; fodder deficits; colistin ban 2019; White Revolution 2.0 (2024)
