Even as the India–US trade deal raises questions over a possible surge in imports of Dried Distillers Grains with Solubles (DDGS) and red sorghum for animal feed, India’s dairy sector is unlikely to see any disruption, according to Jayen Mehta, Managing Director of Gujarat Cooperative Milk Marketing Federation (GCMMF).
Calling the agreement a major win for farmers, Mehta said the deal has protected domestic dairy and agriculture while sharply improving export competitiveness. “It is a fantastic deal. We have got the best deal for dairy and agriculture globally. The entire fight was access to dairy and agriculture. The deal has not only blocked but also ensured that the two sectors in India are protected,” Mehta said.
He added that the pact delivers a significant boost to exports. “The deal also only reduces duty on exports. It is a big boom both for the dairy and agriculture sector,” Mehta said, noting that the tariff on Indian dairy exports to the US has been reduced to 18 percent from 50 percent earlier.
One of the key concerns following the trade deal has been the potential rise in imports of DDGS, a high-energy, protein-rich by-product of ethanol production, commonly used in animal feed in countries like the US. DDGS is produced mainly from corn or rice and contains concentrated protein, fat and minerals after starch is removed during ethanol processing.
However, Mehta said DDGS has very limited applicability in Indian dairy feed formulations, irrespective of price or availability. “We do not use more than 3-4 percent of DDGS in the cattle feed consumed by the dairy industry. Though DDGS has high energy, it leads to fat separation in the cattle. So the presence of DDGS in our recipe is not more than 3-4 percent,” he added.
GCMMF is among the largest cattle feed manufacturers in the country, producing 10,000–12,000 tonnes of cattle feed every day. Mehta said even abundant availability of DDGS would not alter feed recipes “Despite abundant availability, we cannot use more than 3–4 percent of DDGS because DDGS is not good for cattle,” he added.
Addressing concerns that lower tariffs could lead to higher imports of red sorghum for animal feed, Mehta said the grain remains only a secondary option, not a core ingredient. “Red sorghum is used as an option for maize — which is available in abundance in India — as a basic ingredient in animal feed,” he said. Maize remains the primary energy source in Indian animal feed, particularly for poultry and cattle, with sorghum used selectively based on price and regional availability.
Mehta also ruled out imports of finished animal feed from the US, citing differences in feed composition and regulatory preferences. “No animal feed from the US will be imported into India as their animal feed is based on bone meal,” he said. India restricts the use of certain animal-origin ingredients in feed, especially in the dairy sector, due to health, religious and regulatory considerations.
Amul products are exported to 35-odd countries including the US. According to official sources, Amul products worth ₹150-200 crore are exported to the US annually. This includes 19 products including cheese, butter, paneer, ghee, ice cream, benverages, chocolates, Amulya, sweets, cheese spread, Shrikhand, Lassi, basundi and buttermilk.
Published on February 7, 2026
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