Processing of Milk and Milk Products

Production of Paneer, Butter and Ghee

Investment

Opportunities in Dairy

Sector
Introduction

The dairy industry plays an important role in our daily life. It is difficult to realize how fast changes are
taking place in the dairy industry. Milk is an important human food, it is palatable, easy to digest and
highly nutritive. One of the important factors affecting the total amount of milk produced and the way in
which this milk is utilized is the demand for the various products. In order to prepare such a diversity of
products, many different processes have been developed by the industry. There are numerous types of
milk products such as ghee, butter, paneer, cheese, yogurt, ice cream powder, baby cereal food, cream,
and so on. Each of these has been designed to take advantage of some particular property of milk.

Dairy products are generally defined as food produced from the milk of mammals; they are usually high
energy yielding food products. Enzymes play an important role in the production of cheese. Raw milk
contains several native enzymes some of which can be used for analytical and quality purposes for
example pasteurization can be assessed by determining indigenous alkaline phosphate activity. India is
known as the Oyster of the global dairy industry, with opportunities galore to the entrepreneurs
globally. Anyone might want to capitalize on the largest and fastest growing milk and milk products
market. The dairy industry in India has been witnessing rapid growth. The liberalized economy provides
more opportunities for MNCS and foreign investors to release the full potential of this industry.
Developments in the dairy industry are enough to justify a revision of a considerable amount of material
in this book.

This book deals with processes, formulae, project profiles details of plant, machinery & raw materials
with their resources etc. of various dairy products. This book will help all its readers from entrepreneurs
to food industries, technocrats and scientists.

Introduction

Milk is a valuable nutritious food that has a short shelf-life and requires careful handling. Milk is highly
perishable because it is an excellent medium for the growth of microorganisms - particularly bacterial
pathogens that can cause spoilage and diseases in consumers. Milk processing allows the preservation
of milk for days, weeks or months and helps to reduce food-borne illness. India is one of the world's
largest producer and consumer of milk. It contributes to almost 9.5%of the global milk production.

The main aim of the Indian dairy industry is only to better manage the national resources to enhance
milk production and upgrade milk processing Processing of dairy products gives small-scale dairy
producers higher cash incomes than selling raw milk and offers better opportunities to reach regional
and urban markets. Milk processing can also help to deal with seasonal fluctuations in milk supply. The
transformation of raw milk into processed milk and products can benefit entire communities by
generating off-farm jobs in milk collection, transportation, processing and marketing.

The major contents of the book are cholesterol, coronary heart disease and mil fat, cholesterol and
cardio vascular diseases, fatty acids & cholesterol, factors affecting cardio vascular disease, application
of enzymes in dairy and food processing, utilization of milk components: casein, advances in the heat
treatment of milk, varieties of sheep's cheese, whey cheese, potted cheese, filled cheese, testing butter
at different stages, presentation of butter at different stages, condensed and evaporated milk, dried milk
powder, skimmed powder, malted powder, butter powder, ghee yoghurt, technology processing of dairy
and dairy products, dried milk shake, milk powder, dahi from sweet cream butter milk, packaging of
dairy and milk products, dairy farm, dairy products & milk packaging in pouches, etc. using innovative
technologies.

Along with offering profitable business opportunities, the dairy industry in India serves as a tool of socio-
economic development. On the other hand, the private participation in the Indian dairy sector has also
increased over the past few years. Both national and international players are entering the dairy
industry, attracted by the size and potential of the Indian market. The focus is being given to value-
added products such as cheese, yogurt, probiotic drinks, etc. They are also introducing innovative
products keeping in mind the specific requirements of the Indian consumers. The factors which have
contributed to this growth are increasing population, rising disposable incomes, health consciousness
among the consumers, government initiatives, etc.

Ghee

Ghee is a form of highly-clarified butter that is traditionally used in Asian cooking. Like butter, ghee is
typically made from cow's milk. Ghee is made by melting regular butter. The butter separates into liquid
fats and milk solids. Once separated, the milk solids are removed, which means that ghee has less
lactose than butter. Traditionally, ghee has been used as cooking oil, an ingredient in dishes, and in
Ayurveda therapies. Ghee is still used in Ayurvedic massage and as a base for herbal ointments to treat
burns and rashes.

Ghee is great for deep or pan frying. It can be used when toasting spices, as opposed to dry roasting,
when making authentic Indian dishes. This technique results in a richer version of the spice's original
flavor. Ghee can be thought of simply as a more durable, more flavorful butter replacement, and can be
used as a condiment you spread on toast or toss with vegetables. Processing of dairy products gives
smal-scale dairy producers higher cash incomes than selling raw milk and offers better opportunities to
reach regional and urban markets. Milk processing can also help to deal with seasonal fluctuations in
milk supply. The transformation of raw milk into processed milk and products can benefit entire
communities by generating off-farm jobs in milk collection, transportation, processing and marketing. A
more traditional variation of ghee worth trying is flavored ghee, made by adding ginger, peppercorns,
cumin, or other spices at the very beginning of the clarifying process.

Ghee

Ghee, which is widely used in Indian cooking, is the pure butter fat left over after the milk solids and
water are removed from butter. It is very fragrant with a rich nutty taste and represents the second
largest consumed dairy product in India, after liquid milk.
The ghee market in India has witnessed a strong growth in recent years. Some of the factors which have
contributed in influencing the market growth are increasing disposable incomes, expanding distribution
channels and introduction of organic ghee. The taste, texture, and color of the ghee depend on the
quality of butter, source of milk, and duration of boiling. In Ayurveda, ghee is considered as a vital
medicine for healing wounds, improving digestion, reducing free radicals, and boosting immune system.
It can be kept at room temperature for several weeks without refrigeration. The global ghee market is
segmented based on application and geography. On the basis of application, it is divided into household
and industrial. Geographically, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

In 2017, the global Ghee market size was million US$ and is forecast to million US in 2025, growing at a
CAGR of from 2018. The consumption of ghee has increased, as it is rich in fat soluble vitamins A, D, & E,
helps in building strong bones, improves digestion, and reduces inflammation. The plethora of health
benefits and high penetration in the emerging market are the key drivers of the market growth. Further,
high disposable income and population boom are expected to present lucrative opportunities to market
players. However, overconsumption of ghee could lead to cardiovascular diseases, which in turn is key
factor affecting the market growth during the forecast period. The healthy growth of the market can be
attributed to numerous forces. Population growth, rising disposable incomes, easy availability, and
growing awareness about the benefits of ghee are some of the factors that are broadening the growth
aspects of the market.

Khoa

A concentration of milk to one-fifth volume is normal in the production of khoa. Khoa is used as the base
for a wide variety of Indian sweets. About 600,000 metric tons are produced annually in India. Khoa is
made from both cow and water buffalo milk. Khoa is made by simmering full-fat milk in a large, shallow
iron pan for several hours over a medium fire. The gradual evaporation of its water content leaves only
the milk solids. The ideal temperature to avoid scorching is about 80'c (180F). Another quick way of
making khoa is to add full fat milk powder to skimmed milk and mixing and heating until it becomes
thick.

cream

Cream is a dairy product composed of the higher-butterfat layer skimmed from the top of milk before
homogenization. The dairy cream market is driven by the growing food processing industry and
increasing household consumption. The other major factors driving the market demand are changing
food preferences towards processed food, and the growing population and rapid urbanization. The high
production costs and health consciousness leading to low-fat consumption are found to be obstacles for
the industry.

Dairy Cream

The global dairy cream market is expected to reach USD XX billion by 2023, growing at a 3.6% CAGR
during the forecast period 2018-2023. Germany, Russia, Canada, and France were the leading dairy
cream consuming markets, together accounting for approximately more than 40% of global
consumption. These countries were also the leading producers of fresh cream in the world. Based on the
cream type, the market is segmented into dairy cream and vegetable cream. The dairy cream market is
further segmented into fresh cream, whipping cream, half and half cream, sour cream, double cream,
and others. Fresh cream is leading in the dairy cream market for food service industry. It is appropriate
for spooning and is broadly utilized as a part of cookery, progressively well known in Britain. The
vegetable cream is further segmented into soybean, coconut, palm kernel, and others. The soybean
cream is the leading segment in the vegetable cream market for food service industry.

The dairy cream market is driven by the growing food processing industry and increasing household
consumption. The other major factors driving the market demand are changing food preferences
towards processed food, and the growing population and rapid urbanization. The high production costs
and health consciousness leading to low-fat consumption are found to be obstacles for the industry.
Innovative product development with low trans-fat and organic cream products are expected to be
further growth opportunities in this industry. Double-toned milk: It is obtained by taking milk through
the toning process twice, reducing the fat content of milk even further. Double- toned milk is ideal for
weight conscious, calorie counting people. Double-toned milk is more nutritious than toned milk.

Milk Packaging Market

Packaging of milk is the process of using suitable vessels to carry, protect and merchandise milk.
Condensed milk, fresh milk, skimmed milk, evaporated milk and flavored milk are packaged in a broad
range of packaging types such as cans, bottles, pouches, etc. Milk packaging has transformed from the
conventional methods to new and advanced techniques. Depending on the convenience of consumers,
milk packaging is done through several types of specialized containers such as tetra packs.

Toned Milk 3% Fat

Toned milk is often used in areas where milk production is extremely low. In these cases, untreated milk
tends to be high in fat, and mechanical removal of the milk-fat would be cost-prohibitive. Buffalo milk
has a fat content of about 7-8%, and contains calcium and a non fat solids content of 9.-10%. By
reducing the fat content to 3% through the toning process, the available milk quantity is nearly tripled.
Toned milk contains lesser fat as compared to full cream milk. Nevertheless, it continues to maintain the
nutritional content. If we take the fat content into consideration, one glass of toned milk contains 80
calories, which is half of the calorie content of full-eream milk. It is a rich source of calcium and is good
for your bones and teeth.

Global Milk Packaging Market was valued at $36,157 million in 2016, and is expected to reach at
$49,809 million by 2023, registering a CAGR of 4.6% from 2017 to 2023. Packaging is a method of using
components and containers to carry, protect, identify, and enable merchandising of products. Apart
from providing safety and hygiene of products, it enables differentiation of products of two distinct
companies or competitors. Moreover, increase in demand for single serve milk packs is estimated to fuel
the growth of the global milk packaging market during the forecast period. In addition, several health &
nutritional benefits associated with the use of packaging materials have fueled the demand for milk in
the recent years, which is expected to drive the global market during the forecast period. Earlier, glass
bottles were widely used for milk packaging, although, currently, only a minor proportion of glass bottles
are being utilized in milk packaging.

The packaging of milk is an important aspect to protect, carry, and market in order to sustain its
freshness and convenient form of the product. There are various packaging types which are used for
packaging milk, such as bottles, cans, and pouches. The trends associated with the packaging types vary
with respect to country and region. For example, in Germany, the milk is usually packed in cartons
whereas in the US the milk is also packed in pouches. There are diverse reasons for good packaging of
milk like safety, information, ease of storage & handling and distribution damages. The rise in
production of milk across the globe is expected to have a positive impact on the market growth over the
forecast period. Furthermore, the correct choice of packaging material in accordance with the weather
conditions helps in ascending shelf life of the product which is likely to boost the utilization.

Thermoformed plastic packaging products such as bottles and pouches are being widely used for milk
packaging owing to their high stability, resistance to UV rays and resistance to a broad range of
temperatures. Also, cartons prepared from plastic or wax coated paperboard are being most widely
used for milk packaging.

Shrikhand

Shrikhand is a popular, classic, thick and delectable Indian yoghurt sweet commonly known all over India
especially in the states of Gujarat and Maharashtra. It is one of the prime sweet delicacies from the
Gujarati and Maharashtrian cuisines made with hung & strained yoghurt flavored with saffron and
cardamom. Shrikhand is one such excellent and luscious Indian sweet served during festivals, feast or
get together.

Toned Milk

Toned milk is a method, developed in India, of treating buffalo milk by adding skim milk, powdered skim
milk and water to buffalo milk. This process decreases the fat content, increases the quantity of
available milk, and 'tones up' the non-fat solids level to the original amount.

Thandai

Thandai is a refreshing milk based beverage specifically associated with the Holi festival. During dry
summer winds, Thandai makes you feel cooler and have many other health benefits as well.

Market Outlook

The milk processing industry in India will rise at an overall compound annual growth rate (CAGR) of
20.5%, and will be worth USD 53.17 billion by 2020. India has always been the largest producer (an
estimated 400 million litre per day currently) and consumer of milk in the world. But it remained a
boring market largely because the per capita consumption was low, and most of the milk was consumed
in its basic, liquid form, or at best as ghee and some butter. Out of the 400 million litres of milk that
India produces per day, 160 million litres per day (48 per cent) is retained by the producers for their own
consumption. The surplus milk that is available for sale is around 240 million litres per day. Over the next
five years, changing lifestyles of urban population and rising demand for healthy and convenient dairy
products is anticipated to play an instrumental role in the growth of India dairy products market.

In addition, value-added dairy products have larger shelf life than raw milk. Value-added products help
your company become more viable, more visible to the public and open up new markets. The global
dairy market was USD 413.8 billion in 2017, and is expected to register a decent growth rate during the
forecast period. The global dairy sale has surpassed 192,884 million kg in 2017, with milk accounting for
the largest category. The global dairy market observed a volume growth of 1.8% during the past five
years. Some of the major factors driving the growth of the Indian dairy market are rising working-
population, increasing disposable incomes and health consciousness among the consumers.
Additionally, the government is also taking active participation in advancing and promoting dairy
farming practices to promote the production and quality of milk. Milk production is a very important
element of the whole dairy chain.

7 STEPS

1. RAW MILK PROCURMENT AND PRICING

2. INFRASTRUCTURE AND STATUTORY REQUIMENTS

3. DEMAND AND PRODUCT MIX

4. PROCESSING AND PACKAGING TECHNOLOGY

5. QUALITY CONTROL AND REGULATORY

6. MANPOWER

7. VALUE ADDITION AND PROFITABILITY

MARKETING AND PROFITABILITY

 FACTORS AFFECTING PROFITABILITY

 COST STRUCTURE OF VARIOUS PROCESSES

 FINANCIAL Projections OF A FEW LARGE DAIRIES

 BANK REQUIREMENTS FOR FUNDING

Disease and Mil Fat

Cholesterol and Cardio Vascular Diseases

Fatty Acids & Cholesterol

Factors Affecting Cardio Vascular Disease

Dietary Recommendations

Conclusion

2. Application of Enzymes in

Dairy and Food Processing

Introduction

Enzymes in Dairy Industry

Enzymes in Food Industry

3. Utilization of Milk Components:

Casein

Extraction of Casein from Milk

Properties of Casein from Milk

Composition of Caseinates

Composition of Co-Precipitates

Industrial Uses of Casein

Uses of Rennet Casein

4. Developments in Cream

Separation and Processing

Separation and Development in

Separators
Vacreation

Consumer Cream Products

Packaging & Presentation of Cream

5. Advances in the Heat Treatment of Milk

Raw Milk

Pasteurization

Sterilized and UHT Milks

Comparison of Direct/Indirect Processes

Volatile Sulphur components ilk

Flavor Improvement

Nutritional Value

Texture of UHT Milks

Heat Exchanger Fouling

Concluding Remarks

6. Utilization of Milk Components:

Whey

Production

Whey Characteristics

Processing of Whey

Unit Processing and Products

Lactose Production

Conclusion

7. Grading Dairy Produce

Early History

The Separator
8. The Cream Supply

Value of Well Mixed Cream

9. Grading of Milk and Cream

Knowledge Required

Grading Milk

11. Cheese

Hard Varieties

Factors of Viral Importance

Process of Making Cheese

Value of Experiments

Varieties of Sheep's Cheese

Whey Cheese

Potted Cheese

Filled Cheese

12. Refrigeration

Testing Butter at Different Stages

Presentation of Butter at Different Stages

13. Condensed and Evaporated Milk

Dried Milk Powder

Skimmed Powder

Malted Powder

Butter Powder ghee

Yoghurt

Cheese

Presentation of Common Defects in Cheese

14. Milk

Yoghurt from Butter Milk

Cheddar Cheese from Cow Milk

Cheddar Cheese from Buffalo Milk

Mozzarella Cheese

Cottage Cheese

Surti Cheese

Soft Cheese

15. Co-Operative Role in Dairy

Development

16. Technology Processing of Dairy and

Dairy Products

Milk Shake

Combination

Steps in Processing

Dried Milk Shake Milk Powder

Dahi from Sweet Cream Butter Milk

Composition

Acidoptiles Milk

17. Packaging of Dairy and Milk Products

Form Fill & Seal (FFS) System

Aseptic System

Butter

18. Baby Cereal Food & Milk Powders

Uses & Application

Manufacturing Processes of Milk Powder

Raw Material Supplier

Supplier of Plant & Machinery

19. Confectionery Industry-Semi

Automatic Plant

Introduction

Properties

Uses and Application

Formulations

Process of Manufacturing

Suppliers of Plant & Machinery

Suppliers of Raw Materials

20. Condensed Milk (Sweetened)

Introduction

Properties

Uses& Application

Methods of Manufacturing

Address of Raw Materials Suppliers

Address of Plant & Machinery

Suppliers

List of Plant & Machinery

21. Dairy Farm Introduction

Uses & Applications of Milk

Manufacturing Process

Refrigeration or Freezing System

Addresses of Complete Plant & Machinery

Suppliers

List of Plant & Machinery

22. Dairy Products 8& Milk Packaging in

Pouches

Introduction

Properties

Uses& Application

Manufacturing Process

Suppliers of complete Plant & Machinery

Suppliers of Raw Material

List of Plant & Machinery

23. Flavored Milk

Introduction

Flouring Essence

Process of Manufacture

Supplier of Plant & Machineries

24. Ice Cream of Different Flavors

Introduction

Process of Manufacture

Complete Plant & Machinery Suppliers

Raw Material Suppliers

Introduction

Composition of Dry Milk Powder

Property of Milk Powder

Process of Manufacture

Suppliers of Raw Materials

Suppliers of Plant & Machinery

26. Milk Toffee Manufactures

Introduction

Formulation

Manufacturing Process

Complete Plant & Machinery Suppliers

Suppliers of Raw Materials

27. Milk Preservation and Marketing to

Wholesalers

Introduction

Properties of Milk

Buying &Collection of Milk

Chilling& Transportation of Milk to Processing

Station

Manufacturing Process

Suppliers of Raw Material, Plant & Machinery

28. Paneer

Introduction

Nature of cheese
Classification of Cheese

Uses & Applications

Equipment's Required

Process of Manufacture

Plant& Machinery Supplier

Raw Material supplier