BackgroundThe dairy industry in Malaysia mainly depends on imported milk and dairy products. Self-sufficiency in dairy products is 4.5%. In a bid to boost the local dairy industry, the government, through the Department of Veterinary Services, embarked on a crossbreeding project using 50% Sahiwal with 50% Friesian crossbreds imported from Australia and New Zealand. Through intersemen crosses and backcrosses, a number of Sahiwal-Friesian cross groups with 50-75% Friesian genes have been produced. This study was carried out to evaluate some of the genetic and non-genetic factors influencing milk production and reproductive performance of these Sahiwal-Friesian breed groups. The dairy industry is the sector benefiting from the highest degree of protection due to the vulnerable economic position of small milk producers. Milk also known as white gold, which can be used to make a wide variety of high quality products. The high cost of milk as a raw material necessitated a high-tech processing industry. The special nature of milk (perishable and bulky) leads to the need for strict and comprehensive quality regulation and high transportation costs. The high dependence of milk producers in the milk processing industry has resulted in a strong position occupied by cooperatives in milk marketing and in the processing industry. One of the leading companies in the dairy industry is Dutch Lady Milk Industries Berhad and this company will be discussed in the following. Dutch Lady Milk Industries Berhad (Dutch Lady Malaysia) has been a manufacturer of dairy products in Malaysia since the 1950s and was previously owned by Royal Friesland Foods, a Dutch-based multinational cooperative dating back to 1879.Dutch Lady M... .. middle of paper ......growth. The future could also see the dairy industry increasing its physical presence in major export markets where its products have captured substantial market shares. Dairy processors predict the trends that will have the greatest impact on dairy production and manufacturing over the next five years: Pending Regulations – Compliance Policy Guide Providing healthier, high-quality dairy products – safely safety Government involvement in global milk sourcing and pricing serving consumer-convenient products in sustainable packaging Consumer acceptance of non-refrigerated dairy products Programs to increase milk consumption  More dairy buyouts and consolidations – both megafarms and megaprocessors Finding a skilled workforce to operate higher-tech equipment The emergence of the stand-up pouch in products dairy. The voice of the dairy industry