Dairy is one of the biggest agribusinesses in India and a significant contributor to Indian economy. It operates round the year to deliver milk and other dairy products to every human being. It is one the industries that still relies heavily on regional supplies, mostly from the rural areas. In regards to the dairy industry, Indian markets with the greatest growth potential are also among the least developed in infrastructure and consumer awareness. Though large scale dairies like Gokul have automated and latest technology at their disposal, the small scale and mid-scale dairies are still intimidated by the use of technology mostly because of the cost and complexity of the IT systems. Hence, making the process much more labouring, inefficient and error prone. Dairy production faces multiple challenges, most of these challenges are related to the supply chain, at the level of dairy farms and milk collection. One of the most common and alarming challenges is deception of farmers by the upper management in the dairies. The dairy farmers suffer from financial loss as they are often deceived by collection center owners into paying higher commissions and the dairy administrators are unaware of it. So in order to earn a profit, dairy farmers turn to options like adulteration of milk which declines the milk quality. This can be avoided by having an integrated system. An ERP system will ensure that the farmers will get paid fair prices, the collection center owners get their commission accordingly and the dairy administrator can manage all this with ease. This will make the dairy industry more reliable and profitable.
farmer; financial statement; milk Collector
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