National Programme for Dairy Development (NPDD)
राष्ट्रीय डेयरी विकास कार्यक्रम (एनपीडीडी)
A Central Sector Scheme that funds village dairy cooperatives, district unions and state federations to set up bulk milk coolers, chilling plants, milk-testing machines and quality labs, and to form new dairy cooperative societies — so a small dairy farmer gets a fair, quality-linked price.
- Total outlay (revised)
- ₹2,790 crore (15th Finance Commission cycle)
- What it funds
- Bulk milk coolers, chilling plants, testing labs
- Who receives it
- Village dairy societies, district unions, state federations
- New cooperative societies targeted
- ~10,000 (focus on North-Eastern Region)
- Component B (JICA)
- ₹1,568.28 crore, 9 states
- Period
- 2021-22 to 2025-26, continuing to 2027-28
- Implementing agency
- DAHD through NDDB & state milk federations
- Extra procurement capacity added
- ~10 million litres/day
Quick Summary
The key points from this page in about two minutes — read it or have it read aloud.
Quick Summary
The National Programme for Dairy Development builds the missing middle of village dairying — the chilling, testing and cooperative structure between the farmer who milks at dawn and the buyer who wants clean, cold milk. Its money does not come to a farmer as cash; it goes to the village-level dairy cooperative, the district milk union or the state federation to set up bulk milk coolers, milk chilling plants, weighing and fat-testing machines, adulteration-testing kits and quality labs, and to train members. A second part, Dairying through Cooperatives, is funded with a Japanese (JICA) loan and works in nine states to deepen the cooperative network. The revised programme, approved by the Union Cabinet in March 2025 with total funds raised to ₹2,790 crore, also pays a grant to form roughly 10,000 new village dairy cooperative societies, with a focus on the North-Eastern Region, and to set up two new Milk Producer Companies.
So an individual dairy farmer benefits by being a member of a cooperative that gets this infrastructure: milk is weighed and fat-tested transparently on a machine, chilled within hours so it does not spoil, and paid for at a fair, quality-linked rate instead of a middleman's price. Where no society exists, NPDD funds help form one. The scheme is implemented by the Department of Animal Husbandry & Dairying through NDDB and the state milk federations, runs for the 2021-22 to 2025-26 period and continues into 2027-28. Applications are routed by the state — a village society or union submits a project proposal to the state federation, which forwards it for sanction. The page ahead has the component split, the funding pattern and how a society applies.
Overview
The National Programme for Dairy Development (NPDD) has been run by the Department of Animal Husbandry & Dairying since February 2014 and was restructured in July 2021 for the period 2021-22 to 2025-26. It is a Central Sector Scheme: the benefit is dairy infrastructure and cooperative capacity at the village and district level, not a cash payment to individual farmers.
Component A funds the creation and strengthening of milk procurement and quality infrastructure — bulk milk coolers, primary chilling facilities, milk chilling plants, electronic milk weighing and fat-testing units, adulteration-testing equipment, quality-control laboratories and certification systems — for State Cooperative Dairy Federations, District Cooperative Milk Producers' Unions, Self-Help Groups, Milk Producer Companies and Farmer Producer Organisations. It also supports training of cooperative members and the formation of new village dairy cooperative societies in underserved regions. Component B, "Dairying through Cooperatives" (DTC), continues with support from the Government of Japan and the Japan International Cooperation Agency (JICA), with a total outlay of ₹1,568.28 crore (JICA loan ₹924.56 crore, Government of India grant ₹475.54 crore, participating institutions ₹168.18 crore), and operates in nine states: Andhra Pradesh, Bihar, Madhya Pradesh, Punjab, Rajasthan, Telangana, Uttar Pradesh, Uttarakhand and West Bengal.
The Union Cabinet approved the revised NPDD in March 2025, adding ₹1,000 crore to take the total to ₹2,790 crore for the 15th Finance Commission cycle. The revision targets around 10,000 new Dairy Cooperative Societies with a focus on the North-Eastern Region, two new Milk Producer Companies with grant support, and an estimated 3.2 lakh additional direct and indirect jobs, with women — who make up about 70% of the dairy workforce — the main intended beneficiaries. NPDD has already reported an impact on around 1.87 million farmers, over 30,000 jobs and an additional 10 million litres per day of milk procurement capacity.
Scheme highlights
Milk that is chilled before it can spoil
Bulk milk coolers and primary chilling units funded at the village collection centre bring milk down to storage temperature within hours of milking, cutting the sour-milk losses a small dairy farmer otherwise absorbs.
Transparent weighing and fat-testing
Electronic milk weighing and fat/SNF-testing machines at the society mean a member is paid on measured quality, not a collector's estimate — the single biggest source of dispute in village milk sale.
Quality labs and adulteration testing
NPDD funds milk-testing equipment, adulteration-testing kits and quality-control laboratories at unions and federations, which lets a cooperative sell certified clean milk at a better rate.
A society where none existed
The revised scheme pays a grant to form roughly 10,000 new village dairy cooperative societies, focused on the North-Eastern Region, so farmers in unserved villages get an organised buyer for the first time.
Dairying through Cooperatives (JICA)
Component B, backed by a ₹924.56 crore JICA loan within a ₹1,568.28 crore outlay, strengthens the cooperative network — production, processing and marketing — across nine states.
Built around women dairy farmers
Women are about 70% of the dairy workforce and the main intended beneficiaries of the revised programme, which projects around 3.2 lakh additional direct and indirect jobs.
Major components
States pick from these based on local priorities — each has its own eligibility and application process, detailed on its own page where one exists.
Component A — Milk procurement & quality infrastructure
Bulk milk coolers, primary chilling facilities, milk chilling plants, electronic weighing and fat-testing units, adulteration-testing equipment, quality labs and certification, plus member training and formation of new village dairy cooperative societies.
Members of village dairy societies, district milk unions, SHGs, Milk Producer Companies and dairy FPOs
Component B — Dairying through Cooperatives (DTC)
JICA-supported strengthening of dairy cooperatives — production, processing and marketing infrastructure — with a ₹1,568.28 crore outlay across nine states (AP, Bihar, MP, Punjab, Rajasthan, Telangana, UP, Uttarakhand, West Bengal).
Dairy cooperatives and their members in the nine DTC states
What you get
A fair, quality-linked price
Milk weighed and fat-tested on a machine at the society is paid for at a transparent rate set by the cooperative, typically higher and more reliable than what a private milk trader offers.
Lower spoilage losses
Chilling at the village level means milk does not sour on the way to the dairy, so the farmer is not docked for rejected or degraded milk in hot weather.
An assured buyer near the village
A functioning cooperative or a newly formed society buys milk every morning and evening at a fixed point, giving a small dairy farmer a steady outlet instead of hunting for a buyer.
Training and better practices
NPDD funds training for society members and staff on clean milk production, animal feeding and cooperative management, which raises both yield and the price the milk fetches.
Who is eligible
Both lists come from the notified operational guidelines — meeting the left column is not enough if anything in the right column applies to your family.
You qualify if
- You are a member of, or can join, a village dairy cooperative society, district milk union or state cooperative dairy federation
- You belong to a Self-Help Group, Milk Producer Company or Farmer Producer Organisation engaged in milk pooling
- Your village has no dairy cooperative society yet — NPDD grant support can help form one, especially in the North-Eastern Region
- Your cooperative or union needs milk-chilling, testing or quality-lab infrastructure and can submit a project proposal through the state federation
Excluded — even with land
- Expecting a direct cash subsidy or per-litre payment to an individual farmer — NPDD funds institutions, not individuals
- A purely private dairy business with no cooperative or producer-collective structure
- Applying directly to the Centre — proposals must be routed through the state milk federation and the state government
- Seeking a loan for a dairy plant or cattle shed — that is AHIDF or the Dairy Processing & Infrastructure Development Fund, not NPDD
Where this scheme applies
A central scheme with pan-India coverage — open to eligible farmers in every State and Union Territory.
Documents you need
Have these ready before you start — the online form takes ten minutes when nothing is missing.
Detailed Project Report (DPR)
Prepared by the society, union or federation, based on a baseline milk-shed survey, setting out the infrastructure sought, cost, capacity and expected member coverage.
Cooperative / producer-body registration
Proof that the applicant is a registered dairy cooperative society, milk union, state federation, Milk Producer Company, SHG or FPO.
Bank and financial details
Account details of the institution and, where the funding pattern requires it, evidence of the participating institution's own contribution.
How to apply, step by step
The same six steps apply whether you register yourself online or sit down at a CSC.
- 1
Milk-shed survey and DPR
The state, with NDDB support, surveys the milk-shed and the society/union prepares a Detailed Project Report for the chilling, testing or society-formation support needed.
- 2
State Level Technical Committee review
The DPR is examined by the State Level Technical Management Committee for technical soundness and fit with NPDD guidelines.
- 3
Project Sanctioning Committee approval
The Project Sanctioning Committee, chaired by the Secretary, DAHD, approves the project and releases funds to the implementing agency.
- 4
Infrastructure set up and society strengthened
Bulk milk coolers, chilling plants, testing machines and labs are installed; new dairy cooperative societies are registered and members enrolled.
- 5
Farmer joins and pours milk
An individual dairy farmer becomes a member of the society, pours milk at the collection centre, and is paid a transparent quality-linked rate.
Important dates
NPDD launched
February 2014
By the Department of Animal Husbandry & Dairying
Restructured
July 2021
For implementation over 2021-22 to 2025-26
Revised NPDD approved
March 2025
Union Cabinet; ₹1,000 crore added, total ₹2,790 crore for the 15th Finance Commission cycle
Programme period
2021-22 to 2025-26
Continuing till 2027-28 per DAHD
Facts last checked
6 September 2026
Against the DAHD NPDD scheme page, the PMO/PIB release on the March 2025 Cabinet decision, and the revised NPDD operational guidelines
Check your eligibility
Straight from the notified criteria. Nothing you enter leaves your phone.
0 of 3 answered
This checker applies the criteria in the official operational guidelines, but it is guidance — only the state government’s verification against the land records is final.
Downloads
Official documents only — everything below is hosted on the government's own servers.
Official links & helpline
Bookmark the portal itself — no third-party site can release, block or speed up a payment.
- Department of Animal Husbandry & Dairying — NPDDdahd.gov.in — the scheme page with guidelines, components and progress
- National Dairy Development Board (NDDB)nddb.coop — the implementing agency supporting states with surveys, DPRs and technical execution
- NPDD monitoring dashboardmonitor.dahd.gov.in — state-wise progress on NPDD projects
Frequently asked questions
Does a dairy farmer get money directly from NPDD?
No. NPDD funds the village dairy cooperative society, the district milk union or the state federation to set up chilling, testing and quality infrastructure, and to form new societies. A farmer benefits by being a member of a society that gets this support — through a fair, quality-linked milk price and lower spoilage.
What exactly does the scheme pay for?
Bulk milk coolers, primary chilling facilities, milk chilling plants, electronic milk weighing and fat/SNF-testing machines, adulteration-testing kits, quality-control laboratories and certification systems, member training, and grant support to form new village dairy cooperative societies.
Is NPDD still running?
Yes. The Union Cabinet approved the revised NPDD in March 2025 with total funds of ₹2,790 crore for the 15th Finance Commission cycle. The programme covers 2021-22 to 2025-26 and continues into 2027-28.
My village has no milk cooperative — can NPDD help start one?
Yes. The revised programme provides grant support to form roughly 10,000 new village dairy cooperative societies, with a focus on the North-Eastern Region, and to set up two new Milk Producer Companies. Approach your State Cooperative Dairy Federation or NDDB.
What is Component B / "Dairying through Cooperatives"?
A JICA-supported component with a ₹1,568.28 crore outlay (including a ₹924.56 crore Japanese loan) that strengthens dairy cooperatives' production, processing and marketing in nine states: Andhra Pradesh, Bihar, Madhya Pradesh, Punjab, Rajasthan, Telangana, Uttar Pradesh, Uttarakhand and West Bengal.
How does a cooperative apply?
The society, union or federation prepares a Detailed Project Report based on a milk-shed survey, submits it to the State Level Technical Management Committee, and, once cleared, it goes to the Project Sanctioning Committee chaired by the Secretary, DAHD, for approval and fund release.
How is NPDD different from AHIDF and the Dairy Processing & Infrastructure Development Fund?
AHIDF and DIDF are loan funds — with interest subvention — for dairy plants, chilling infrastructure and value addition, usually for larger entities. NPDD is a grant-based scheme building cooperative capacity at the village and district level.
Who benefits most from the revised scheme?
Women, who make up about 70% of the dairy workforce, are the main intended beneficiaries. The revision projects around 3.2 lakh additional direct and indirect jobs and more organised milk collection in currently underserved regions.
Still have questions?
The FAQs above cover the common ones. For anything about your specific application, the ministry helpline undefined is the authoritative answer — and we are happy to point you in the right direction.