India's Dairy Sector Faces Fragility Amidst Monsoon Uncertainty

India's Dairy Sector Faces Fragility Amidst Monsoon Uncertainty

India's dairy sector, often celebrated as the world's largest, rests on a surprisingly fragile foundation. Milk production depends not only on animal health but also on factors such as fodder availability and cattle sheds. This year, the sector may face an inflation shock due to the uneven monsoon, which could lead to fodder shortages and affect milk production. Policymakers typically focus on the monsoon's impact on crop fields, but this year, they may need to consider the dairy sector's vulnerability. The sector's fragility could have significant economic consequences, making it essential for policymakers to address the issue.