Sale of Raw Milk
According to law of Prevention of Food Adulteration, 1976, it is mandatory to not to sell untreated milk to the consumer. According to rule, on its packing you have to mention, whether this milk is pasteurized, sterilized, date of packing, Fat %, SNF % and other treatments done (i.e. flavored or unflavored) on contained milk.
Theoretically, Doodhwalla is liable for action when he is selling raw milk on his bicycle under this act. It is general routine to mix water in raw milk by doodhwalla. But who cares! But if you go on commercial scale by incorporating a company it could catch eyes of departmental authorities.
Feasible solution is to develop a network of refrigerated vans (4 degree temperature) and sell raw milk to homes, packed in glass bottles, within 2 hours of it getting milked from the cows. It is safe to file a Memorandum with local Food Hygiene Department that you are selling untreated raw milk to your known friends in your neighborhood who knows it is un-pasteurized and are happy with it.
For branding you can decorate your refrigerated vans advertising that you are keeping the cows in an open field with access to green fodder at all times + treating cows in humane manner + providing nutritious feeds to the cows + not resorting to artificial harmone or milk booster + plenty of shady area + fresh drinking water + well aired barns. Advertise more and more of your dairy farming techniques. You may or may not brand glass bottles.
Such income will come under Agricultural Income, which will not be taxable. However income derived from modern processing units is taxable.
