India and Japan are strengthening cooperation to promote sustainability and circular economy practices in the dairy sector, with a focus on expanding Compressed Biogas (CBG) infrastructure through dairy cooperatives. Discussions between the two countries took place on 15 October 2026 at Atal Akshaya Urja Bhawan in New Delhi, under the Memorandum of Understanding (MoU) signed on 2 July 2026.
The meeting brought together officials from India’s Ministry of Cooperation and Japan’s Ministry of Economy, Trade and Industry (METI) to explore opportunities for technical collaboration, sustainable dairy practices and clean energy generation.
India and Japan Explore Dairy Sector Collaboration
The Indian delegation included Dr. Ashish Kumar Bhutani, Secretary of the Ministry of Cooperation; Pankaj Kumar Bansal, Additional Secretary; Raman Kumar, Joint Secretary; and Dr. Meenesh Shah, Chairman of the National Dairy Development Board (NDDB). Senior officials from the Ministry of Cooperation, the Department of Animal Husbandry and Dairying (DAHD), and the Ministry of External Affairs (MEA) also participated.
The Japanese delegation was led by Masayoshi Arai, Vice Minister for International Affairs at METI. Other participants included Daisuke Asakura, Director of the South West Asia Office; Masafumi Senda, Chief Representative of the New Energy and Industrial Technology Development Organization (NEDO); and Toyokazu Nagamune, Regional Representative of METI, along with other senior officials.
The discussions focused on building technical and institutional partnerships that can support more sustainable dairy operations. Both sides explored ways to improve the utilisation of organic waste generated across dairy value chains and convert it into clean energy.
Plan for 1,000 Compressed Biogas Plants
A key proposal under the India–Japan cooperation framework is the phased establishment of 1,000 Compressed Biogas plants across the dairy cooperative sector. The initiative aims to leverage India’s extensive dairy cooperative network to develop circular economy solutions that connect dairy production, organic waste management and renewable energy generation.
CBG can be produced from biodegradable materials, including animal dung and other organic waste. When developed with suitable infrastructure and effective waste collection systems, these facilities can help convert waste into a usable energy resource while supporting more efficient resource management.
For dairy cooperatives, such projects could create additional value from organic by-products and potentially open new revenue opportunities alongside milk procurement and processing activities. The approach also offers scope to strengthen local energy systems and encourage resource-efficient practices in rural areas.
JICA Support and Sustainable Financing
The cooperation framework also envisages collaboration with the Japan International Cooperation Agency (JICA). The proposed engagement is expected to support project development, facilitate sustainable financing and strengthen wider technical cooperation.
Developing CBG infrastructure at scale will require coordinated planning, suitable technology, investment and effective operations. Collaboration between Indian institutions, Japanese agencies and dairy cooperatives could help address these requirements as projects progress through different phases.
The initiative reflects a broader effort to integrate clean energy solutions into India’s dairy cooperative ecosystem. By linking organic waste management with biogas production, the partnership seeks to advance circularity while supporting rural communities and the dairy sector’s sustainability objectives.
The phased rollout of the proposed plants will be an important step in translating bilateral cooperation into practical projects. Its progress will depend on project implementation, financing arrangements and coordination among the participating institutions and cooperatives.
