MILK SUPPLY BEHAVIOR IN INDIA - DATA INTEGRATION, ESTIMATION AND IMPLICATIONS FOR DAIRY DEVELOPMENT

We develop and estimate a model to derive the sources of growth in Ind ian milk production. A substantial share of this growth is attributed to technological progress associated with the cooperative system. Dire cted interventions in the dairy sector can account for only a fraction of this technological progress. For instance, cross-breeding only par tially explains the growth in cow milk production, suggesting improvem ent in the quality of indigenous cows. Diffuse determinants may thus p lay an important role in dairy development. In this regard, the cooper ative system provides a channel for the dissemination of information a s well as an infrastructure base for the adoption of new technology.