New Delhi: India is emerging as an unexpected player in the global mozzarella market, reviving a space long dominated by Western suppliers. The increase comes even as several trading partners continue to press New Delhi for greater access to India’s dairy market, including cheese, in ongoing negotiations, according to government trade data reviewed by Mint.
Mozzarella exports jumped from zero in FY23 to $0.71 million in FY24 and $2.29 million in FY25, and momentum has strengthened this year. Shipments reached $3.29 million in April-September 2025, up more than 1,200% year-on-year, the data show. India’s total dairy exports stood at USD 493 million in FY25, up 80% over the previous fiscal year.
Analysts attribute the increase to global demand for pizza, the competitive pricing and texture of buffalo milk mozzarella — the preferred pizza cheese — and recent investment spurred by the government’s Production Linked Incentives (PLI) program. These are the first signs that India’s dairy sector is starting to move up the value chain, even as Europe, the US and New Zealand continue to dominate the global cheese trade.
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In India, mozzarella is made mostly from buffalo milk, which gives it a firmer texture and higher fat content compared to cow’s milk variants, said Tarun Shridhar, former animal husbandry and dairy secretary and director general of the Indian Chamber of Food and Agriculture (ICFA).
With the world’s largest buffalo population, India has a natural advantage in producing the variety, and exporters say the quality of buffalo milk mozzarella is increasingly recognized in overseas markets.
A key boosting factor is the government’s decision to include mozzarella in its PLI program in 2021, which has encouraged dairy firms to expand capacity and upgrade technology, a government official said.
For example, Amul has invested ₹200 million for the production and export of buffalo milk mozzarella. The company announced this plan in 2021.
“India now has excess capacity in cheese and our butter and cheese prices are competitive in the global dairy market,” said Rupinder Singh Sodhi, president of the Indian Dairy Association and former executive director of the Gujarat Cooperative Milk Marketing Federation (Amul).
“Demand for dairy products is increasing from Middle Eastern countries, African markets like Morocco and Egypt and also from Georgia,” said Sudarshan Patil, finance manager of Maharashtra-based Sonai Dairy. The company exports cheddar cheese to these countries.
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Indian companies have found it easier to export mozzarella than cheddar, which requires longer maturation, higher storage costs and a stronger brand. In contrast, buffalo milk mozzarella offers India a differentiated product in a fast-growing global market, Shridhar said.
Key mozzarella exporters include Amul, Milky Mist and Schreiber Dynamix.
India exports mozzarella mainly to Sri Lanka, Saudi Arabia, Japan, Bangladesh, Nigeria, Bhutan and Bahrain. Saudi Arabia emerged as the largest buyer, importing $2.38 million worth of Indian mozzarella in April-September 2025, compared to zero imports a year ago. It is followed by Sri Lanka, whose imports rose to $0.47 million in the first half of FY26 from $0.07 million a year ago, and Bangladesh to $0.14 million.
Support for the prospects of Indian dairy products
This signals bright prospects for the sector. “Mozzarella is still a very small export segment for India, but recent growth shows the first signs of how value-added dairy products can find space in global markets,” said Ajay Srivastava, co-founder of the Global Trade Research Initiative.
“The increase in mozzarella exports shows that India’s dairy sector is finally moving up the value chain,” said Binod Anand, founder and president of the World Economic Forum for Cooperation, a cooperative-led platform. “Cooperatives have the capacity to compete globally when they invest in technology and quality systems, and this momentum in value-added dairy products is a clear indication of what is possible.”
In total dairy exports, India has made limited progress despite being the world’s largest producer of milk. Its dairy exports account for only about a quarter of a percent of global dairy trade, and most supplies are still in low-value categories such as milk powder and casein, rather than branded cheese.
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In FY24, India exported dairy products worth USD 272.64 million with a volume of 63,738.47 tonnes. In FY25, dairy exports rose to $492.9 million, with volumes rising to 113,350.4 tonnes.
India exported about 67,573 tonnes of dairy products worth $285 million in FY23. In FY24, these exports were approximately 63,738 tonnes valued at US$273 million. For fiscal year 25, they rose to 113,350 tons and a value of $493 million.
India Ratings forecasts milk production in India to grow by 5% per annum in the near to medium term. From 251 million tonnes in FY25, production may go up to 263 million tonnes in FY26 and 277 million tonnes in FY27.
According to the 20th Livestock Census 2019, India’s cow population is 145.12 million, while the number of buffaloes is estimated at 109.85 million, the highest in the world.
India launched its food processing PLI program in 2021 with an expenditure of Rs ₹10,900 crore over a period of six years, FY22-FY27. It aimed to increase value-added production, modernize processing facilities and help Indian food brands expand their presence in global markets.
The scheme provides incentives and support for overseas branding based on sales and covers categories such as ready-to-eat foods, seafood, processed fruit and vegetables, organic foods and dairy products, including mozzarella cheese.
