A field survey was conducted to assess the extent of productivity increase and cost reduction on the adoption of ration balancing programme (RBP) of dairy animals undertaken by ICAR-NDRI. Out of four villages selected, two villages received services such as the provision of the mineral mixture from ICAR-NDRI and ration balancing programme implemented under NDP-I (Treatment villages – Lalukheri and Alipur) and the other two villages didn’t receive any kind of services (Control villages – Dhansaini and Bhoura-Khurd). From each village, about 50 dairy farmers were randomly selected. Data were collected on feeding management practices using a pre-tested interview schedule. The collected data was analyzed using propensity score matching to control bias due to confounding variables. Results revealed that more cattle and buffaloes were fed on a balanced ration in treatment villages as compared to control villages. Attributed to ration balancing the average daily milk yield of Murrah, HF and Jersey crossbreds was significantly increased by 25.7 per cent, 18.8 per cent and 37.0 per cent (unmatched) respectively, and the corresponding quantum of increase after controlling for the confounding factors by calculation of average treatment on the treated (ATT) resulted in an 8.8 per cent, 9.3 per cent and 13.4 per cent increase. Fat per cent and SNF per cent were improved significantly (p < 0.01) only in Murrah buffaloes fed with balanced ration. Total feeding cost didn’t vary between RBP and non-RBP animals after the calculation of ATT. However, the cost of feed per kg of milk of the RBP animals was found to be around 15 per cent (p < 0.01) lower than the non-RBP animals. The total returns, net returns from milk production as well as the milk-feed ratio of RBP animals were significantly higher.