El Niño disrupts India's dairy sector, creating seasonal risks
El Niño disrupts India's dairy sector, creating seasonal risks
IN · Published Nov 8, 2026
• India's dairy industry, a cornerstone of the rural economy, is facing significant challenges due to climate changes linked to the El Niño phenomenon.
• The rise in temperatures and irregular rainfall patterns have disrupted the traditional milk production cycle.

Impact & Risks

The disruptions in milk production are affecting farmers, dairy processors, and consumers. Farmers, who rely on milk production for their primary income, are experiencing financial instability due to prolonged low yields. Dairy processors are incurring higher costs for feed, labour, and logistics, which are further exacerbated by the reduced availability of milk. Consumers are feeling the impact through rising prices, especially during festivals like Diwali and Navratri, when demand for dairy products such as ghee, paneer, and sweets surges. In some markets, milk supply has fallen to just 70% of the required levels.

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