Milk Parlour Project Report



You can now download Milk Parlour Project Report in a short time. It takes many days to research this business and then write the project report for starting a milk parlor business in India. My question is Why spend so much time when we are here? Yes, I mean to say that the business plan is a crucial document that contains all significant details about the setup.

If you are an individual who lacks time and wants to get the project report ready in a short moment. You are on the right page. We can provide you with this project report in a few minutes. Just make the payment and get the download link that gives you access to use our project report. 

A milk parlour is a business in which dairy cows are taken care of and they are mulched to sell their milk in the market. It is a highly profitable business in India that you can start. To start this business, you need to, first of all, get your own cow.

Milk Parlour Project Report PDF Bank Loan India

A milking parlour, also known as a dairy parlour, is a facility used in dairy farming for milking cows. The parlour is typically equipped with machinery and infrastructure to facilitate the efficient and hygienic milking of cows. It may include equipment such as milking machines, feeders, stalls, and wash systems. Milk parlours come in various sizes and designs, ranging from simple, small-scale operations to large, high-tech facilities. The primary goal of a milking parlour is to provide a safe, efficient, and comfortable environment for both cows and workers during the milking process. Proper design and maintenance of a milking parlour can play an important role in promoting the health and productivity of dairy cattle.

Milking Parlour project report is a necessary document that will help you get all the necessary licenses, help you set up this factory and avail financial assistance from the banks. You can use it as a map that has all the solutions to your doubts and can resolve your problems in a gist of time. Also, read detailed business plan for evaporated milk processing.

Characteristics of Milk Parlour

The characteristics of a milking parlour can vary depending on the size and design of the facility, but some common features include:

  • Equipment: Milking machines, stalls, feeders, wash systems, and other equipment to facilitate the milking process.
  • Hygiene: Adequate measures are taken to ensure cleanliness and prevent the spread of disease. This may include proper ventilation, wash systems, and procedures for cleaning and disinfecting the parlour.
  • Cow comfort: The design of the parlour should take into consideration the comfort and well-being of the cows, with adequate space, lighting, and ventilation.
  • Efficient milking: The parlour should be designed to maximize efficiency, reduce labor, and minimize stress on cows during milking.
  • Safety: The parlour should be designed to ensure the safety of both cows and workers, with measures such as non-slip flooring, proper lighting, and adequate space for movement.
  • Waste management: The parlour should have a system for properly managing waste, such as manure and bedding, to reduce the risk of environmental pollution.
  • Flexibility: The parlour should be adaptable to changing conditions, such as changes in herd size or milking technology, to remain effective over time.

Need of Milk Parlour in India

Milk parlours are needed for several reasons:

  • Collection and distribution of milk: Milk parlours provide a centralized place for farmers to bring their milk, which is then processed, packaged, and distributed to consumers.
  • Processing and preservation of milk: Milk parlours have the necessary equipment and technology to process raw milk into various dairy products such as cream, butter, cheese, and yogurt. This helps to preserve the milk for longer and makes it safe for consumption.
  • Quality control: Milk parlours are equipped with quality control measures to ensure that the milk and dairy products produced are of the highest quality and safe for consumption.
  • Income generation: Milk parlours provide a source of income for farmers and the wider rural community through the sale of milk and dairy products.
  • Convenience: Milk parlours provide consumers with a convenient source of fresh, high-quality dairy products, eliminating the need for them to travel long distances to purchase such products.

Also Read Article on Setup of Milk Powder Making Business.

Business Prospects of Milk Parlours in India

The dairy industry in India is one of the fastest growing sectors, with the increasing demand for fresh and high-quality dairy products presenting a great opportunity for the establishment of new milk parlours. India is the largest producer of milk in the world, providing a large market for the dairy industry.

  • Growing demand for dairy products: With the increasing disposable income of the population, there has been a higher demand for fresh and high-quality dairy products in India. The introduction of new dairy products, such as flavored milk and cheese, has also contributed to the growth of the industry.
  • Advantages of the Indian dairy industry: The Indian dairy industry has several advantages, including the availability of raw materials (milk) in abundance and the support provided by the government through financial and technical assistance. The sector is dominated by small and medium-sized enterprises, with a large number of small-scale dairy farmers.
  • Challenges faced by the dairy industry in India: Despite the growth of the dairy industry, there are several challenges that the industry faces. These include a lack of proper infrastructure and storage facilities, limited access to credit and insurance, and a lack of technical knowledge among small-scale farmers.
  • Government support for the dairy industry: The government has implemented various schemes and programs to support the growth of the dairy industry in India. For example, the National Dairy Development Board (NDDB) provides technical and financial support, and the Rashtriya Gokul Mission aims to develop and conserve indigenous breeds of cattle and buffaloes.

Market Prospects

The market prospects for milk parlours in India are very promising, with the increasing demand for fresh and high-quality dairy products, the availability of raw materials, and supportive government policies. The establishment of new milk parlours will help to cater to the increasing demand for dairy products and provide a source of income for the rural population.

Is It Profitable to Start Milk Parlour Business in India?

Yes, it is a highly profitable start-up for you to start in India. You must know why you should start this business. 

High Demand: Milk and dairy products are stapling food items in many households, and their demand is consistently high. The growing population, increasing urbanization, and rising disposable incomes are driving the demand for dairy products, making the milk parlour business a lucrative opportunity.

Low Investment: Starting a milk parlour business requires a relatively low investment compared to other food businesses. This makes it an accessible opportunity for small and medium-sized entrepreneurs. The cost of machinery, equipment, and supplies can be easily managed within a budget, and the returns can be significant.

Versatile Product Range: A milking parlour offers a range of dairy products, including milk, yogurt, cheese, and butter, among others. This versatility in product offerings provides a broad market base, catering to a variety of customer preferences and tastes.

Growing Health Awareness: Consumers are becoming increasingly health-conscious and are seeking healthier food options. The milk parlour business provides a range of dairy products that are nutritious, low in fat, and high in calcium, making them an attractive option for health-conscious consumers.

Low Operating Costs: The milk parlour business has low operating costs, as the main raw material, milk, is readily available and relatively inexpensive. This makes it a cost-effective business to operate, and the returns on investment are high.

Brand Building: The milk parlour business has the potential for brand building, as customers are more likely to return to a trusted and established brand for their dairy needs. The establishment of a strong brand image can increase customer loyalty, attract new customers, and boost sales.

Environmentally Sustainable: The milk parlour business is environmentally sustainable, as dairy products are derived from renewable resources and have a low carbon footprint. This makes it an attractive option for environmentally conscious consumers.

Starting a milk parlour business is a profitable opportunity, providing benefits such as high demand, low investment, versatile product range, growing health awareness, low operating costs, brand building, and environmentally sustainable operations. With careful planning, marketing, and execution, the milk parlour business can provide significant returns on investment and long-term success.

Licenses And Permits Needed to Start a Milk Parlour Business

  • Business License: A business license is required to operate a milking parlour in India. The license should be obtained from the local Municipal Corporation or the Registrar of Companies, depending on the type of business structure chosen.
  • FSSAI (Food Safety and Standards Authority of India) License: The FSSAI license is mandatory for all food businesses in India. The license certifies that the milking parlour is following the food safety and hygiene standards set by the FSSAI.
  • Trade License: A trade license is required to operate a milk parlour business in India. The license is issued by the local Municipal Corporation or the Department of Trade and Industry, and it verifies that the business is operating legally.
  • Health License: A health license is required to ensure that the milking parlour is following the health and hygiene standards set by the local health department. The license is issued by the local health department and should be renewed annually.
  • Environmental Clearance: An environmental clearance may be required, depending on the location and size of the milking parlour. The clearance is issued by the Ministry of Environment, Forest and Climate Change and certifies that the business is not causing any environmental harm.
  • FSSAI Registration for Dairy Products: FSSAI registration is required for dairy products that are sold in India. The registration verifies that the dairy products meet the food safety and quality standards set by the FSSAI.
  • GST Registration: GST (Goods and Services Tax) registration is mandatory for all businesses in India. The GST registration verifies that the business is paying the appropriate taxes on its sales.

How Much Do I Need to Invest for Starting a Milk Parlour Business in India?

The cost of starting a milking parlour in India can vary greatly depending on various factors such as the location, size of the parlour, and the type of equipment and infrastructure required. However, on average, it can range anywhere from 10 to 50 lakhs or more.

Here are some of the major cost components:

  • Equipment and Infrastructure: This includes refrigeration units, processing and packaging equipment, storage facilities, and furniture and fixtures. This can account for a major portion of the total cost and can range anywhere from 5 to 20 lakhs or more.
  • Legal and Regulatory Compliance: Obtaining licenses and permits, registering the business, and adhering to food safety regulations can incur significant costs. This can range anywhere from 1 to 5 lakhs.
  • Staff and Employee Training: Training of the staff and employees on various aspects such as food safety, quality control, and customer service can also add to the setup costs. This can range from 50,000 to 2 lakhs.
  • Marketing and Advertising: Creating brand awareness and promoting the milking parlour through various channels such as social media, billboards, and local advertisements can also incur significant costs. This can range from 1 to 5 lakhs.
  • Raw Materials and Supplies: The cost of purchasing milk, packaging materials, and other supplies required for daily operations will also add to the overall setup cost. This can range from 2 to 10 lakhs.

It’s important to note that these are just estimated costs, and the actual cost of starting a milking parlour in India will depend on several factors such as the location, size, and type of equipment required. It’s recommended to consult with a professional and conduct a thorough cost analysis before starting a milking parlour.

How Do I Start Milk Parlour Business In India?

  • Conduct Market Research

Before starting any business, it’s important to conduct thorough market research to understand the demand and competition in the market.

  • Study the Market Demand for Milk and Dairy Products: Understanding the demand for milk and dairy products in the local area is crucial to the success of a milk parlour business. This can be done through surveys, focus groups, and market analysis reports.
  • Identify the Target Customer Base: Knowing the target customer base, such as families, schools, or offices, will help in determining the product offerings and marketing strategies.
  • Analyze the Competition: Analyzing the competition and identifying the unique selling points can help in differentiating the business from others and attracting customers.

Create a Business Plan

A comprehensive business plan is necessary to lay out the objectives, strategies, and financial projections of the business.

  • Define the Business Structure, Goals, and Objectives: The business structure, such as sole proprietorship, partnership, or limited liability company, should be defined, along with the goals and objectives of the business.
  • Establish the Marketing and Sales Strategy: A marketing and sales strategy should be developed to reach out to the target customer base and generate sales. This can include social media marketing, local advertisements, and offering discounts and promotions.
  • Determine the Budget, Funding Requirements, and Potential Revenue Streams: A budget should be created, including the cost of equipment, infrastructure, and supplies, and the funding requirements should be determined. Potential revenue streams, such as sales of milk and dairy products, should also be identified.
  • Develop a Risk Management Plan: A risk management plan should be developed to minimize potential risks and prepare for unforeseen events.

Obtain Licenses and Permits 

The business must comply with legal and regulatory requirements, including obtaining licenses and permits, registering the business, and adhering to food safety regulations.

  • Register the Business: The business must be registered with the local government, and the type of business structure, such as sole proprietorship, partnership, or limited liability company, should be defined.
  • Obtain Food Safety and Hygiene Certificates: The milk parlour must comply with food safety regulations and obtain food safety and hygiene certificates.
  • Register for GST: The business must register for GST and comply with tax regulations.

Set up the Infrastructure and Equipment

The milk parlour must have proper infrastructure, including refrigeration units, processing and packaging equipment, storage facilities, and furniture and fixtures. The cost of equipment and infrastructure will depend on the scale and type of business, but it is advisable to invest in high-quality equipment to ensure the quality and safety of the products.

  • Source Milk and Dairy Products: The milk and dairy products must be sourced from reliable suppliers who adhere to food safety standards. It is important to maintain a steady supply of high-quality products to meet customer demand.
  • Hire and Train Staff: Hiring and training staff is an important aspect of running a successful milk parlour business. The staff should be trained in food safety and hygiene, customer service, and sales and marketing.

Launch and Promote the Business

Once the business is set up, it is important to launch and promote it to reach out to the target customer base. This can be done through social media marketing, local advertisements, and by offering discounts and promotions.

Starting a milk parlour business in India requires careful planning, market research, and investment in infrastructure and equipment. By following these steps, the business can be established successfully and have a strong foundation for growth and profitability.

Machinery Required for Milk Parlour Business

Milk Processing and Packaging Equipment

The milk processing and packaging equipment are crucial for ensuring the quality and safety of the products.

  • Milk Cooling and Storage Tanks: Milk cooling and storage tanks are used to store raw milk at a temperature of 4°C to prevent spoilage. The tanks should be made of high-quality stainless steel to ensure durability and hygiene.
  • Milk Pasteurization and Homogenization Equipment: Milk pasteurization equipment is used to heat the raw milk to a temperature of 72°C to kill any harmful bacteria. Homogenization equipment is used to break down the fat globules in the milk to produce a consistent texture.
  • Milk Filling and Packaging Machines: Milk filling and packaging machines are used to fill the milk into containers and seal them for distribution and sale. The machines should be easy to operate and maintain and should produce consistent and high-quality products.

Refrigeration Equipment

Refrigeration equipment is necessary to store and display dairy products at the correct temperature to prevent spoilage.

  • Display Chillers: Display chillers are used to store and display dairy products such as ice cream, yogurt, and cheese. The chillers should have an adjustable temperature range and be easy to clean and maintain.
  • Walk-in Coolers: Walk-in coolers are used to store large quantities of dairy products and raw materials. The coolers should be energy-efficient and have an adjustable temperature range to accommodate different products.

Other Equipments

In addition to the milk processing and refrigeration equipment, other equipment may be necessary to run a successful milk parlour business.

  • Furniture and Fixtures: Furniture and fixtures, such as counters, chairs, and tables, are necessary to create a comfortable and inviting environment for customers.
  • Cash Register and Point of Sale System: A cash register and point of sale system are necessary for efficient and accurate record-keeping and sales transactions.
  • Cleaning and Sanitation Equipment: Cleaning and sanitation equipment, such as scrub brushes, cleaning chemicals, and sanitizers, are necessary to maintain the hygiene and cleanliness of the milking parlour.

In conclusion, the machinery required for a milk parlour business depends on the scale and type of business, but it is important to invest in high-quality equipment to ensure the quality and safety of the products. The equipment should be easy to operate and maintain and should meet all food safety regulations.

Working Of Milk Parlour

Raw Milk Collection

The first step in the manufacturing process is the collection of raw milk from suppliers. The milk should be collected cleanly and hygienically and should be stored at a temperature of 4°C to prevent spoilage.

Milk Processing

The raw milk is then processed to produce a range of dairy products.

  • Pasteurization: The raw milk is heated to a temperature of 72°C for 15 seconds to kill any harmful bacteria and to extend its shelf life.
  • Homogenization: The raw milk is then homogenized to break down the fat globules and produce a consistent texture.
  • Standardization: The fat content of the milk is adjusted to meet customer requirements.
  • Flavoring: Flavors, such as vanilla, chocolate, and strawberry, are added to the milk to produce flavored milk products.


The processed milk is then packaged in containers and sealed for distribution and sale.

  • Filling: The milk is filled into containers using a filling machine.
  • Sealing: The containers are then sealed to prevent contamination and to extend the shelf life of the products.
  • Labeling: The containers are labeled with product information, such as the date of manufacture, expiry date, and nutritional information.

Storage and Distribution

The packaged dairy products are then stored in a refrigerated environment to maintain their quality and safety. They are then distributed to customers through retail outlets, supermarkets, and online platforms.

The manufacturing process of a milking parlour involves the collection and processing of raw milk, packaging, storage, and distribution of dairy products. The process should be carried out cleanly and hygienically and should adhere to food safety standards to ensure the quality and safety of the product

How Do I Promote Milk Parlour Business?

Local Advertising: Local advertising is an effective way to reach potential customers near the milking parlour. This can include methods such as flyers, posters, and door-to-door promotions. Partnering with local grocery stores, supermarkets, and restaurants can also be an effective way to promote the milk parlour’s products.

Social Media: Social media platforms such as Facebook, Instagram, and Twitter are excellent marketing tools for reaching a wider audience. By creating a social media presence, the milking parlour can reach customers who may not live close to the business but are interested in dairy products. Regular updates, promotions, and interactive content can help to keep followers engaged and drive sales.

Word of Mouth: Word-of-mouth is a powerful marketing tool, and satisfied customers can be a great source of referrals for the milking parlour. Encouraging customer feedback and providing excellent customer service can help to build a positive reputation and drive new business through word of mouth.

Promotions and Discounts: Offering promotions and discounts can help to attract new customers and retain existing ones. This can include discounts on bulk purchases, seasonal promotions, and loyalty programs.

Online Presence: Having a strong online presence, including a website and online ordering platform, can help to reach a wider audience and provide convenience to customers. By providing online ordering, customers can easily place orders and have dairy products delivered directly to their door.

Collaborations: Collaborating with other local businesses, such as cafes and restaurants, can provide the milking parlour with exposure to a new customer base. This can include offering dairy products as ingredients in menu items or providing bulk purchases for use in commercial kitchens.

Community Engagement: Getting involved in local community events, such as fairs and festivals, can provide the milking parlour with exposure to new customers and help to build a positive reputation in the community. Providing samples, and informational materials, and engaging with customers can help to create a memorable experience and drive sales.

Contents of Milk Parlour Project Report PDF

Sr. No.Particulars
1Project At A Glance
2Highlights of The Project
3General Information And Location
4Promoters Background
5Project Introduction
6The Project Proposal
7Prospect For Investment
8Potential Target Customers/Market
9Market Entry And Marketing Strategy
10Critical Success Factors
11Process Details And Technical Solutions
12Installed And Operational Capacity
13Quality And Standards
14Raw Materials And Consumables
15Tentative Implementation Schedule
16Basis & Presumptions
17Capital Investment Estimates
18Working Capital Requirement
19Projected Profitability Statement
20Calculation of Interest Amount
21Depreciation Schedule
22Term Loan Repayment Schedule
23Debt Service Coverage Ratio
24Break-Even Analysis
25Cash Flow Statement
26Projected Balance Sheet
27Internal Rate of Return
28Pay Back Period
29Permits And Business Licenses
30Important Steps To Start Ice-Cream Parlour
31Tips to Identify Suitable Location
For whom is Milk parlour Project report format useful?
  1. CA Chartered Accountants
  2. Tax Consultants
  3. Small Business Owners
  4. Students
  5. Engineers
  6. Who wants to self-study

In addition to those who want to prepare project reports themselves.

Sample Project Report Format of milk parlour new business

In our project report format, we have covered all the technology details, its diagrams, flow charts etc. as and when required or deemed fit to include. Also, we can help you prepare in-depth financial calculations which are necessary for the Investor/bank.

You will get the report data from our Project Report in PDF. You can also modify the information according to your need. You will be able to access the data easily according to your requirement. 


Setting up a milk parlour in India is a profitable venture that needs a well written business project report that includes every crucial fact about this business-like market feasibility, future of business, legalities, quality, production etc. This business can rise in a short time period, and it is a continuous business that can expand sales throughout the years. You just need to follow all the guidelines mentioned in our project report.

The milk parlour project report is designed for an individual enthusiastic about investing in this business and willing to generate extra earnings with his investment in this business. The complete set up requires a detailed project report and business plan that can tell the entrepreneur in detail about the market research and a lot more. Our project report contains all the necessary details that you need to know before setting up your business. It will help you in assisting to write down the project report and applying for a bank loan.

Frequently Asked Questions On milk parlour business Project Report
Who is the target market for a Milk Parlour business?

The target market for a milk parlour business is typically individuals and families who are looking for high-quality dairy products and food items. The business can also target customers who are looking for a convenient, one-stop-shop for their dairy needs.

What type of marketing strategies are used for a Milk Parlour business?

Marketing strategies for a milk parlour business can include online and offline advertising, social media marketing, promotional events, and loyalty programs. The business can also offer discounts and special deals to attract customers and increase sales.

What are the benefits of starting a Milk Parlour business?

Starting a milk parlour business can be a lucrative venture, as the demand for dairy products is always high. The business also provides an opportunity for entrepreneurship, as well as offers a stable source of income. The business can also provide employment opportunities for individuals in the local community.

What is the manufacturing process of milk in milk parlour?

The manufacturing process of milk involves sourcing dairy products from suppliers, storing the products in a temperature-controlled environment, and processing the products to create various dairy products. The products are then packaged and sold in the retail store.

What are the necessary licenses and permits required to start a Milk Parlour business in India?

To start a milk parlour business in India, the necessary licenses and permits include a business license, FSSAI license, trade license, health license, environmental clearance, FSSAI registration for dairy products, and GST registration.

How much does it cost to start a Milk Parlour business?

The cost of starting a milk parlour business in India varies depending on the size of the business, the location, and the type of equipment and machinery needed. The average cost of starting a small-scale milk parlour is around INR 5 to 10 lakhs.

What is a Milk Parlour business?

A milk parlour business is a retail establishment that specializes in selling dairy products such as milk, yogurt, cheese, and ice cream. Milk parlours may also offer food items such as pastries, sandwiches, and smoothies.

You may also like…