Sodhi explained that India’s dairy model has historically succeeded because cooperatives ensured that the majority of revenues flowed directly back to producers. He argued that unlike many private-sector models, cooperative systems prioritize farmer welfare over excessive corporate margins, helping India become the world’s largest milk producer while supporting millions of smallholders.

The former Amul executive emphasized that dairy remains one of the few agricultural sectors where farmers receive regular daily income. However, he cautioned that rising production costs, feed expenses and operational pressures are tightening margins at the farm level. If farmers are denied equitable returns, the industry risks reduced milk production and declining farmer participation.

Sodhi also highlighted the broader economic role of dairy in India’s rural economy, particularly for women and small-scale producers. He noted that the cooperative dairy structure has created stable income opportunities across villages while contributing to nutritional security and employment generation. Maintaining farmer profitability, he said, is essential for preserving this social and economic ecosystem.