The catastrophe has effectively wiped out the local dairy economy that sustained approximately 150 to 200 Gorkha smallholder families for generations. Prior to the deluge, Nepali Khuti operated as a key regional dairy hub, maintaining a collective herd of more than 1,000 to 1,500 cattle and supplying fresh liquid milk, curd, and paneer daily to urban consumption centers including Nazira, Sivasagar, and Simaluguri, as well as reaching broader markets in Dibrugarh, Jorhat, and Tinsukia.

Following the flood, local residents report that fewer than 20 cattle survived, with the loss of livestock and physical infrastructure estimated at roughly ₹15 crore. For families whose entire working capital, daily cash flow, and intergenerational savings were held directly in their dairy herds, the sudden loss of milking cows and breeding stock has destroyed their primary means of self-reliance, leaving the community dependent on emergency food distributions.

With thick layers of silt covering pastures, cattle sheds destroyed, and basic identity and land documentation lost in the floodwaters, community elders and local observers warn of an impending wave of out-migration. Without access to immediate capital to replenish dairy stock or reconstruct housing, younger villagers and displaced dairy workers are facing pressure to abandon traditional pastoral livelihoods and migrate to urban industrial centers in search of informal, low-wage manual labor.