Dairy supply chain and logistics in India

1. Dairy supply chain and logistics in India Over time, The dairy industry in India has come a long way. From being the sole occupation of the marginal population, farmers who aspire to provide the most improved supply chain network, and rural families of India, Dairy farming has developed in manifold ways to provide high-quality liquid milk to India's citizens. The Dairy industry has evolved so rapidly that now it ranks 1st in world milk production (115 million metric tons)with a market value of around INR 4000 Billion. Thus, The Indian Dairy industry predominantly fuels the Indian economy and is a considerable part of our industrial mainframe. Inevitably, it requires a certain amount of management and foundational solidity. The dairy supply chain and logistics in India are responsible for ensuring the smooth and efficient functioning of the Indian Dairy Sector. Dairy supply chain refers to the entire process of planning and controlling raw material and information from milk suppliers, warehouses, facilities, and customers to ensure a sufficient milk supply to various homes. Dairy supply chain and logistics in India aims at minimizing costs and maximizing flexibility and customer service experience. The supply chain and logistics of the Dairy industry in India involve maintenance and careful planning with close adherence to five major business processes. These business activities include - 1) Purchase of materials from suppliers- 2)Transportation of materials from suppliers to facilities, 3)Production of goods at facilities, 4)Transportation of goods from facilitates to warehouses 5)Transportation of goods from warehouses to customers. Dairy supply chain and logistics in India is an integrated and fairly vast system of command where many different business organizations like suppliers, distributors, industrial consumers, etc work as a cohesive unit to resolve problems of the flow of goods and raw material, and the stream of information, in terms of milk production. A supply chain consists of all phases involved in satisfying a customer request directly or indirectly. In each company, the supply chain includes producers and suppliers. Additionally, it also includes retailers and consumers that complete the chain or cycle of supply. India is known to be the largest milk producer globally, accounting for more than 13 percent of the global supply of aggregate milk. Milk production contributes 22 percent to the GDP of agriculture, and over many years, it has made some remarkable improvements. Due to rising demand and increasing disposable income, the size of the Indian dairy industry in both organized and unorganized areas is expected to double to $140 billion by 2020. According to the NDDB, it is good for the Indian dairy industry to experience high rates of growth, with demand reaching 200 million tonnes by 2022, up from 132 million tonnes in 2013. Regardless of the increase in milk production, due to evolving usage patterns, distinct demographics, and the rapid urbanization of rural India, a demand-supply crevice has ended up important in the milk industry.

2. With this, the Dairy supply chain and logistics network assume a vital role in getting adequate results productively and effortlessly. There are many steps involved in the dairy supply chain and logistics. These measures include: ● Supply of inputs for dairy products in the form of feed, animal feed plants, animal veterinary aids (cattle and buffalos). ● Milk is removed daily from the mulching animal by the dairy farmers (large, medium, and small scale farmers). ● Milk collection by collection centers (various milk cooperatives societies). ● Milk collected by cooperative societies is then sent to dairy facilities where it is chilled, and milk products are processed, packed, and transported. ● The transport of chilled milk and milk products from one place to another is carried out by the private, government, and cooperative societies via refrigerated vans or insulated milk tanker vans. The final milk and milk products processed are delivered to different retail stores, supermarkets, and retail markets from where they eventually reach their final customers. Many issues arise in the procurement, processing, storage as well as logistics. These mainly include delayed payment of dues, high production costs, gaps in information, inadequate feeding of animals, disease incidence, seasonal spikes in demands, and many more difficulties. However, tackling these demands and eradicating their existence is part of the dairy supply chain and logistics. By successfully managing the execution of all measures and phases of the dairy supply chain, the Indian Dairy sector is gradually reaching its ultimate potential in terms of adequate milk production and supply. Dairy supply chain and logistics aim to transport quality products from supplier to customer. Management of the supply chain network is an important component for companies and various organizations which aspire to provide the most improved supply chain network, owing especially to lower organizational costs. Control of the supply chain (SCM) is a rapidly shifting field of interest for academics and Practitioners in company administration alike. By ensuring that all the units in the dairy supply chain and logistics are working adequately, one can enable quality milk production and supply to various homes and organizations.