Livestock helps to improve food production and provide nutritional security. It generates income, employment and acts as a cushion against crop failure. It provides draught power and manure inputs to raise the crop. It also contributes to foreign exchange through the export of animal products. Out of total land holding 30 per cent is held by small and marginal farmers. They manage 80 per cent of total livestock in the country. Livestock production is more impressive than food grain production. The activity of livestock production is largely confined to the rural sector. Land, labour, capital and organization are the basic resources available in the rural sector. These four factors of livestock production are roped-in proportionately to augment the production of finished goods; namely milk, meat, pork, wool and multifarious products of commercial importance. Nutritional deficiencies problem is common among the poor. Protein deficient diet based on cereals and pulses needs to be supplemented by animal-based protein sources for which dairy based products are well known.