Fonterra Co-operative Group is planning a pilot dairy farm in India with the Indian Farmers Fertiliser Co-operative (IFFCO) and Global Dairy Health.

The joint venture, signed last week in Auckland, is a first step towards large-scale world-class dairy farms in India. The pilot farm could have a herd size between 3000 and 5000 cows.

Fonterra chief executive Andrew Ferrier said the approach in India would be similar to that taken in China.