Milk procurement refers to the system through which milk is collected from producers and supplied to dairy plants for processing and distribution. Different methods of milk procurement are used depending on the size of the dairy industry, number of producers, and availability of infrastructure. The major methods include direct procurement from farmers, collection through middlemen or contractors, village cooperative societies, and milk collection centers. In the direct procurement method, dairy plants purchase milk directly from individual farmers. The dairy organization sets up collection points in villages and collects milk from producers daily. The major merit of this system is that the dairy has direct control over milk quality, pricing, and transportation. Farmers also receive prompt payments without involvement of intermediaries. However, this method requires significant investment in infrastructure, transportation, and manpower. Managing procurement from a large number of small farmers can also be difficult. The middlemen or contractor method involves private agents who collect milk from farmers and sell it to dairy plants. The main advantage of this system is that the dairy plant does not need to invest heavily in collection infrastructure and management. Contractors handle the logistics of milk collection. However, this system has several disadvantages. Middlemen may adulterate milk or manipulate quantities to increase profit. Farmers may receive lower prices because contractors keep a portion of the payment as commission. This method also reduces transparency and control over milk quality. The cooperative method is widely practiced in organized dairy sectors. In this system,