UPSC Daily Current Affairs- What is ‘Non-Veg Milk’?

India-US Trade Deal Stalemate: The Dairy Dispute

Why in News?

• The India-US trade negotiations have stalled primarily due to a disagreement over dairy imports.

• US President Donald Trump set an August 1 deadline for finalizing trade deals, warning of potential tariffs if no agreement is reached.

• India refuses to compromise on dairy imports, citing religious, cultural, and economic concerns.

What is ‘Non-Veg Milk’?

• ‘Non-veg milk’ refers to milk from cows that are fed with animal-based products like:

  • Meat and bone meal

  • Blood meal

  • Parts of pigs, horses, fish, chicken, etc.

• In the US, animal-derived proteins are often used in cattle feed to cut costs and improve yield.

• This practice is unacceptable in India, where cows are considered sacred and milk is central to daily religious rituals.

India’s Red Line: Certification Demand

• India demands strict veterinary certification ensuring:

  • Imported dairy comes from cows never fed with animal-based feeds.

• The Department of Animal Husbandry & Dairying mandates:

  “Animals must not be fed with meat, bone meal, blood meal, or tissues of ruminant or porcine origin.”

Religious and Cultural Sensitivities

• About 38% of India’s population is vegetarian (World Atlas, 2023).

• Milk and ghee are crucial in Hindu religious practices.

• Allowing imports of dairy linked to animal feed contradicts India’s cultural values and religious sentiments.

Economic Concerns: Impact on Indian Dairy Farmers

• India is the world’s largest producer and consumer of milk (239.30 million tonnes in 2023-24).

• The dairy sector supports 8 crore livelihoods, mostly small-scale farmers.

• State Bank of India (SBI) report findings:

  • Opening dairy to US imports could lead to annual losses of ₹1.03 lakh crore.

  • Milk prices may drop by 15%, harming farmer incomes.

  • US dairy receives heavy subsidies, making competition unfair.

Contribution to Rural Economy

• Dairy contributes about 2.5-3% of India’s Gross Value Added (GVA).

• Total value estimated at ₹7.5-9 lakh crore.

• For India, protecting the dairy sector is both an economic and political priority.

Conclusion

• The dairy issue remains a non-negotiable red line for India.

• Until the US agrees to India’s terms on dairy certification, the broader India-US trade deal is unlikely to move forward.