Successful design of dairy plant largely depends on selection of facilities and equipment for appropriate handling of the various resources involved in the manufacturing of products. Therefore, one of the foremost step would be to estimate the capacity of a dairy and, ear- mark production of various products with capacity. Other requirements like equipment, utilities, structure and manpower will be function of the estimated capacity of dairy. Generally following main factors are taken into consideration:
a. Milk shed area and its potentiality,
b. Future possibility of expansion,
c. Nearby dairy plant, its distance and expansion possibilities,
d. Productivity of animals and future aspects affecting milk production,
e. Connectivity of villages, possibilities for milk procurement and expected development,
f. Social tendencies for milk business,
g. Allied occupation of farmers and extent of their sustainability,
h. Government policies for augmenting milk production,
i. Change in life style, purchasing power of consumers and nutritional awareness among people.
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