How do you start a milk processing plant?

The dairy industry plays an important role in our daily life. It is difficult to realize how fast changes are taking place in the dairy industry. Milk is an important human food, it is palatable, easy to digest and highly nutritive. One of the important factors affecting the total amount of milk produced and the way in which this milk is utilized is the demand for the various products. In order to prepare such a diversity of products, many different processes have been developed by the industry.

There are numerous types of milk products such as ghee, butter, paneer, cheese, yogurt, ice cream powder, baby cereal food, cream, and so on. Each of these has been designed to take advantage of some particular property of milk. Dairy products are generally defined as food produced from the milk of mammals; they are usually high energy yielding food products. Enzymes play an important role in the production of cheese. 

Raw milk contains several native enzymes some of which can be used for analytical and quality purposes for example pasteurization can be assessed by determining indigenous alkaline phosphate activity. India is known as the Oyster of the global dairy industry, with opportunities galore to the entrepreneurs globally. Anyone might want to capitalize on the largest and fastest growing milk and milk products market. The dairy industry in India has been witnessing rapid growth. The liberalized economy provides more opportunities for MNCs and foreign investors to release the full potential of this industry. The main aim of the Indian dairy industry is only to better manage the national resources to enhance milk production and upgrade milk processing using innovative technologies.

India is the world's largest milk producer. India stands 1st in milk production and contributes around 23% of global milk production. The success of the milk business in India can be reflected by the fact that milk production has grown at a thrilling 6.2% compound annual growth rate. In 2014-15, it was 14.63 crore tones, while in 2020-21, the number rose to 20.99 crore tones.

Let's now get some crucial information on the various steps involved in starting an enterprise in dairy farming. There are a few essential tasks to be completed before beginning an enterprise in dairy farming. They are:

a) Consulting with experts/professionals and market leaders conducting thorough business research

b) Focusing on the importance of a safe and healthy animal infrastructure

c) Initiating feeding and waste management programs

d) Obtaining licences from the authorities concerned with funding or taking business loans

e) The finalising of a name for your company

f) Registering your business as a corporation or as an MSME.

To start a small dairy farming enterprise, entrepreneurs must select fewer cattle in the beginning. Later on, the number of cattle may be increased, as per demand. 

The milk business owner needs a registration certificate for their company when registering the company as a sole proprietorship partnership, limited liability partnership, public NGO, private limited, or other.

The next step is for milk business owners to manage and own the various facilities needed to start the dairy farming industry. They are:

• A system of irrigation to feed the grass

• Storage room for manure and feed

• Milking store

• Sterile facility for the storage of milk and pasteurizing purpose

• Barns or sheds 

• Other equipment and machinery.

In addition, when business owners are learning how to start a dairy business in India, they have to get permits, licenses and approvals from the relevant authorities. A license is required to allow crossing animals between states under certain circumstances, such as vaccinations, sickness, etc.

Milk plants can be small, medium or big depending on the investment made by the owner. There are number of dairy products like ghee, cream, butter, toned milk, double toned milk and skimmed milk that are also manufactured in milk plant. Milk is initially dumped in big milk tank from the milk tankers after that it chilled in a chilling unit. This chilled milk is pasteurized in the milk pasteurizer and cream is divided from the cream separator which gets skimmed milk. Milk is generally categorized as toned milk, skimmed milk, double toned milk or full cream milk.

To sum up in short, some of the things to consider while setting up a dairy production line are as follows:

a) Choose an ideal location.

b) Research the animals’ species and breed.

c) Select the ideal number of cows or buffalo.

d) Determine a food source.

e) Create a plan for animal breeding.

f) Register your dairy business.

g) Get every single of the required licenses and permits.

h) Buy/rent the essential equipment if you're farming with cattle.