Central to the NPDD is a substantial financial outlay, reflecting a clear national commitment to rural economic transformation. These significant funds are specifically allocated to meet the program’s twin objectives: first, establishing and augmenting critical dairy processing infrastructure, and second, improving the milk quality assurance mechanisms across the entire organized system. This strategic investment approach directly addresses historical inefficiencies in the existing dairy value chain, ensuring that the milk handled by organized entities meets stringent quality parameters for both robust domestic consumption and growing export market potential.

The implementation phase of the NPDD has already yielded crucial, quantifiable results regarding infrastructure development. The scheme has notably contributed to the creation of substantial new milk chilling and processing capacity across numerous states. This systematic expansion of the cold chain is vital for reducing post-harvest losses and maintaining milk quality from farm to processor. Furthermore, a core achievement has been the focused strengthening and revitalization of hundreds of Dairy Cooperative Societies (DCS), thereby formalizing millions of smallholder dairy farmers into organized procurement structures.

A fundamental tenet of the program involves comprehensive intervention for milk quality improvement, which directly benefits the producer base. The NPDD supports the installation of automated Milk Collection Units (AMCUs) and advanced testing equipment at the cooperative level. This technological upgrade ensures transparency and accuracy in milk quality assessment, which, in turn, facilitates fair and incentive-based pricing mechanisms for farmers. . By promoting better quality assurance throughout the agribusiness model, the scheme not only protects consumer health but also guarantees more stable and remunerative returns for small and marginal producers.