AN EVALUATION OF THE IMPACT OF THE DAIRY INDUSTRY ON EMPLOYMENT GENERATION AND BUSINESS GROWTH IN LOCAL COMMUNITIES

Abstract

The objective of the present study was to evaluate the effect of dairy industries on employment opportunity and growth of business in the Jaipur district of Rajasthan in India. The research was of exploratory and analytical nature conducting with the help of a stratified random sampling technique involving 300 participants from the Jaipur and its vicinity who possesses potentiality for development of dairy industry.

 Structural equation modeling was applied to determine the flow between growth in the dairy industry, employment creation and the SME growth within the targeted local region. The research study results made it clear that there is a positive correlation between the dairy industry development and employment and SME development in the local economy. These were in line with earlier studies that have pointed out the dairy sector in supporting livelihoods and boosting economic growth in the region.

 As for main findings, the research enriches the existing theoretical background with empirical data concerning the role of the dairy industry for local economic development in the context of Jaipur district. It provides relevant information for the policy maker and other stakeholders in the process of coming up with policies that can harness the dairy sector for the development of the rural areas. The study also presents a number of recommendations for future research that includes the following; Long term effects of the sector development, gender dynamics of sector development, environmental effects of the sector development.

 Such findings stress the need for policies that would promote further development of the dairy industry as one of the strategies for employment and local enterprise creation in rural areas. It is for this reason that the study suggests policies aimed at promoting the development of the dairy sector and the dairy cooperatives, supporting women involved in the dairy production and ensuring adequate supporting infrastructure and market facilities. The realisation of these propositions could possibly further improve the beneficial effects of dairy industry development to local economy in Jaipur district and other analogous areas in India.