<p>The dairy industry is crucial for the global food chain and economy, involving milk procurement, processing, and distribution. Milk procurement plays a central role in ensuring economic viability, where maintaining cold storage facilities, implementing strict quality control, and ensuring supply chain integrity are essential for preserving milk freshness and safety. The objective of this research is to explore the key factors influencing raw milk procurement in the Indian dairy industry and analyze their interrelationships for improving dairy supply chain efficiency. To achieve this, an Interpretive Structural Model (ISM) was developed to identify and structure the factors affecting raw milk purchase. The analysis revealed that farmer awareness is the most critical variable, forming the foundation for sustainable improvements. Enhancing farmer knowledge directly contributes to better procurement practices and reduces costs in the supply chain. Following this, strengthening transportation and cold storage infrastructure further enhances sustainability and operational efficiency. The study provides practical guidance for policymakers and dairy managers to optimize procurement practices and build a more resilient, cost-effective dairy supply chain.</p>