Nova Dairy predicts value-added milk products will lead India’s F&B sector in 2025, driven by health-conscious consumers and premium innovations.
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Industry leader Nova Dairy identifies value-added milk products as the primary growth engine for the coming year.

The Indian food and beverage landscape is on the cusp of a significant transformation as we head into 2025, with Nova Dairy projecting that value-added milk products (VAP) will be the primary catalyst. According to Ravin Saluja, Director of Sterling Agro Industries (Nova Dairy), the industry is moving beyond basic liquid milk toward high-margin, specialized offerings. This shift is driven by a domestic consumer base that is increasingly prioritizing health, convenience, and premium quality, forcing manufacturers to innovate at a rapid pace to maintain market relevance.

Strategic focus is sharpening on products like ghee, paneer, and flavored dairy drinks, which are no longer seen as mere staples but as essential components of a modern diet. Nova Dairy emphasizes that the integration of functional ingredients—such as probiotics and protein-fortified options—is becoming a standard expectation rather than a niche luxury. For international analysts, this signals a maturing market where volume-based growth is being supplemented, and in some cases replaced, by value-driven strategies that capitalize on changing lifestyle patterns.

The dairy giant notes that technological advancements in processing and cold-chain logistics are playing a pivotal role in this evolution. Enhanced shelf-life and improved packaging solutions are allowing brands to reach deeper into semi-urban and rural markets, expanding the footprint of value-added goods. This infrastructure development is crucial for maintaining the “freshness” narrative that Indian consumers value, while simultaneously opening up export potential for standardized, high-quality dairy derivatives.

Sustainability and transparent sourcing have also emerged as non-negotiable pillars for the 2025 outlook. Nova Dairy highlights that today’s professional buyers and end-consumers are more concerned than ever with the “farm-to-fork” journey. Brands that can demonstrate ethical practices and clean-label credentials in their manufacturing processes are likely to capture the lion’s share of the growing premium segment, as trust becomes a key currency in the competitive F&B sector.

Ultimately, the trajectory of the Indian dairy sector in 2025 points toward a fusion of tradition and technology. As Nova Dairy continues to expand its product portfolio, the broader message to the global dairy community is clear: success in the Indian market will depend on the ability to deliver sophisticated, health-centric value-added products that resonate with a globalized consumer mindset while respecting local culinary heritage.

Source: FnB News – Explore the full analysis of Nova Dairy’s 2025 market projections

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