Punjab dairy cluster (Punjab)


Punjab accounts for nearly 10% of the total milk production of India, and ranks fourth among all states in total milk production. The dairy sector in Punjab works on the Gujarat dairy cooperative (Anand ) model. ‘Verka’ is a popular brand of Punjab State Cooperative Milk Producers’ Federation Limited, and has retail outlets across the state and beyond. Punjab has 21 large dairy processing plants and 11 cooperative milk processing plants. There is a h3 network of about 6432 milk producers cooperative societies organized at village level. About 365 thousand milk producers are attached to these societies. Fresh milk is procured from the milk producers twice a day through village level societies directly without the assistance of any middlemen. For preserving the milk during transportation, the milk is cooled/chilled before transportation. More than 1000 Automotive Milk Collection Stations are deployed in the societies for efficiency and transparency in milk procurement. Apart from cooperative societies, there are about four joint sector and 46 private sector dairy plants is in Punjab. These plants are not associated with the cooperative societies, and hence buy milk directly from local producers. Except for Nestle India Ltd, most of the private players are very small. The Punjab dairy sector provides direct and indirect employment for to more than 650,000 people.

Products manufactured

Milk and dairy products like infant milk food, instant milk mix, skim milk powder, ice-cream, paneer, sweetened condensed milk, dairy whitener and butter

Number of MSMEs

11 cooperative milk processing plants; 6,432 milk producers cooperative societies; 4 joint sector dairy plants; 46 private dairy plants

Energy consumption


Main fuels

Electricity; furnace oil (FO); high speed diesel (HSD)

Production & turnover

25.4 million litres daily; Rs 20,000 crores (200 billion) annually

Total energy consumption (toe)


Leading industry association(s)

Cluster Profile


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Secretary - SAMEEEKSHA, Industrial Energy Efficiency Division,
TERI, Darbari Seth Block, IHC Complex, Lodhi Road, New Delhi 110 003, India
Tel: +91 11 2468 2100, 2468 2111 | Email: sameeeksha@teri.res.in