The aim of this work was to explore and understand the potential for dairy co-operative in Bumthang,a dairy potential district in the east-central part of Bhutan. This research can be of special reference to all professionals involved in forming associations, cooperatives and value chain development. I would like dedicate my work to my beloved mother Karkimo Sherpa, wife Lhakpa Deki, son Dodrup and twin daughters Chimi Eden and Chimi Selden for bearing with my absence. They have endured my absence a lot and in the process also learned to cope with difficulty. I would like to dedicate this work to them and all dairy farmers of my country what good may come out of it.