BENGALURU: Ahead of Ugadi and Eid-ul-Fitr, the state government has increased prices of Nandini milk and curd by Rs 4 a litre with effect from April 1.
With this decision of the state cabinet taken on Thursday, the prices of other milk products are also likely to go up. Karnataka Milk Federation (KMF) and milk producers’ unions associated with it had proposed an increase of Rs 5 a litre, but the cabinet approved a hike of Rs 4 a litre.
The federation will withdraw its earlier hike of Rs 2 a litre of milk sachet with additional 50ml in it.
Animal husbandry minister K Venkatesh, cooperation minister KN Rajanna and KMF chairman Bheema Naik defended the hike stating that there was pressure from dairy farmers and the unions across the state.
Venkatesh said the cabinet took this decision to help dairy farmers as the hike of Rs 4 will go to them directly and not to the unions.
“In Karnataka, the difference between milk procurement and selling price is minimal compared to other states’ milk federations. The cabinet held elaborate discussions on the KMF’s proposal in view of the pressure from dairy farmers, who had insisted that the production cost had gone up,” Rajanna said.
Admitting that the decision will affect consumers, Rajanna said it has been taken in the interests of dairy farmers and not with the intention of making profits.
Decision to aid dairy farmers
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The decision will help 26.84 lakh dairy farmers, who supply 8.9 lakh litres of milk daily, making KMF the country’s second largest cooperative milk federation. It has been making an average payment of Rs 28.6 crore daily, Naik said.
He said KMF has been offering many facilities, including equipment and fodder, at subsidised prices, which now have gone up by 40%. Prices of cows have also increased. Nandini milk price (Rs 42 per litre now) is competitive compared to private firms, whose selling price is Rs 50 per litre, he added.
Revised prices
Toned milk(blue sachet): Rs 46/litre (Rs 42 now)
Homogenised toned milk: Rs 47 (Rs 43 now)
Cow milk (green sachet): Rs 50 (Rs 46 now)
Shubham (saffron sachet)/special milk: Rs 52 (Rs 48 now)
Curd/kg: Rs 54 (Rs 50 now)