The dairy sector is contributing significantly to the economy. It provides gainful employment and supplementary income to large number of people. Dairy sector contribute significantly on poverty reduction in rural areas as income from milk in the total income of underprivileged family is as high as 75 to 80% during drought and the employment generated is relatively high. It creates market opportunities for the indigenous products through product diversification and innovative marketing. There is a scope in export of the dairy products, export of animals, milk products. In Dairy industry we can utilize the non-conventional resources like solar energy, rain water, agricultural by products and locally available resources.