Tetra Pak to launch dairy index

NEW DELHI: India features as a key growth driver for the global dairy industry, according to the Tetra Pak dairy index, a first-of-its-kind industry reckoner on dairy industry consumption trends, production and growth projections. In a global first, the e8.6 billion Swiss packaging company Tetra Pak will introduce the biannual dairy index report on June 1.

Last year, milk consumption in India was up more than 2.6% from 2007 to nearly 51.5 billion litres. Over the past four years, milk consumption in India has risen by a compound annual growth rate (CAGR) of 2.7%, with packed milk growing by a CAGR of 4.7% over the same period. The country���s biggest dairy players include Gujarat Cooperative Milk Marketing Federation (GCMMF)���s Amul and National Dairy Development Board (NDDB)���s Mother Dairy, followed by various regional dairy strongholds.

According to the index, India, Pakistan, the Middle East and China contribute 95.8% growth of the global dairy industry.

The index attributes the growth to a combination of factors, such as increasing population and household incomes, new dietary trends and higher awareness of dairy products. Among the index forecasts is the projection that global consumption of milk and other liquid dairy products will grow by a CAGR of 2.2% over the next three years. Tetra Pak group president and CEO Dennis Jonsson said: ���We expect continued growth in emerging markets and a shift toward consuming more packaged milk.��� As of now, 65% of all milk consumed in India is consumed in unpackaged format.

But over the last four years, consumption of milk and other liquid dairy products sold in pasteurised plastic pouches has increased 4.5% annually while milk sold in cartons has grown at 24.6% annually.