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Rajasthan's Milk Revolution: Expanding potential, empowered farmers, and a transforming rural landscape
The Business Guardian
|December 06, 2025
Rajasthan has emerged as one of the fastest-progressing regions on India's dairy map, driven by reforms that are reshaping the state's rural economy.
Under the leadership of Chief Minister Shri Bhajan Lal Sharma, deliberate focus on dairy and animal husbandry, supportive policies, and the strengthening of cooperative systems have enabled the state to carve out a distinct national identity. The result is remarkable progress across production levels, processing capacity, livestock health, rural energy solutions, and farmer income enhancement.
A RAPIDLY RISING MILK-PRODUCING STATE
Rajasthan stands today as India's second-largest milk producer, demonstrating the growing strength of its agriculture-based economy. The per capita milk availability has reached an impressive 1,171 grams per day, securing the second highest position in the country. This rising production underscores both the expanding capacity of the dairy sector and the increasing prosperity of rural households that depend heavily on livestock for stable income. The consistent rise in milk output is also a reflection of improved management practices, government support, and energized rural participation.
A FLOURISHING DAIRY AND FEED SECTOR
The dairy and animal feed industry in Rajasthan has seen exceptional economic expansion. The sector's annual turnover has surged from 8,000 crore to 10,000 crore, highlighting increased market activity, investment, and enhanced supply chain operations. Last year, the dairy industry recorded a historic profit growth of 46 percent, the highest in nearly five decades. Of the state's 24 milk unions, 15 that had long been operating under financial strain are now profitable. This turnaround is linked to policy reforms, increased transparency, technological advancements, and renewed trust among farmers toward cooperative institutions.
STRENGTHENING MILK PROCESSING CAPACITY
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