Leading milk suppliers Amul and Mother Dairy will increase milk prices by Rs 2 per litre with effect from Wednesday on account of rising input costs.
This is the second hike by Amul and Mother Dairy in nearly six months. In the beginning of March, both had increased milk prices by Rs 2 per litre.
The Gujarat Cooperative Milk Marketing Federation (GCMMF), which sells milk and other dairy products under the Amul brand, on Tuesday said it has decided to increase the milk prices by Rs 2 per litre in Ahmedabad and Saurashtra of Gujarat, Delhi-NCR, Bengal, Mumbai and other markets effective from August 17.
The hike of Rs 2 per litre will translate into a 4 per cent increase in MRP (Maximum Retail Price) which is lower than the average food inflation, it said in a statement.
“This price hike is being done due to an increase in overall cost of operation and production of milk. The cattle feeding cost alone has increased to approximate 20 per cent compared to last year. Considering the rise in input costs, our member unions have also increased farmers’ price in the range of 8-9 per cent over the previous year,” GCMMF said.
The co-operative passes on almost 80 paise of every rupee paid by consumers for milk and milk products to the milk producers.
The price revision shall help in sustaining remunerative milk prices to our milk producers and to encourage them for higher milk production, the GCMMF said.
Separately, Mother Dairy announced that it will hike milk prices in the Delhi-NCR (National Capital Region) by Rs 2 per litre from Wednesday.
Mother Dairy is a leading milk supplier in the Delhi-NCR market and sells more than 30 lakh litres per day in poly packs and through vending machines.
A company official on Tuesday said it is “compelled” to raise its liquid milk prices by Rs 2 per litre with effect from August 17, 2022. The new prices will be applicable for all milk variants. Full cream milk will cost Rs 61 per litre from Wednesday, up from Rs 59 per litre.
Prices of toned milk will increase to Rs 51 while double toned milk will rise to Rs 45 per litre. Cow milk price have been hiked to Rs 53 per litre.
Bulk vended milk (token milk) price has been raised to Rs 48 from Rs 46 per litre.