Karnataka: With 50ml more, Nandini milk costlier by Rs 2

Once the milk procurement reduces, the quantity of milk in each packet will be revised and so will the rates.
KMF procures 99 lakh litres of milk daily.
KMF procures 99 lakh litres of milk daily.

BENGALURU: A few days after the state government hiked the fuel prices by Rs 3 per litre and slashed the rates of high-end liquor, the milk price has been increased by Rs 2 per packet, but with a little more quantity. The new milk price will come into effect on Wednesday (June 26).

As per Karnataka Milk Federation’s (KMF) order, there will be 50ml more in each Nandini milk packet -- half litre and one litre. The price has been hiked for each packet by Rs 2, irrespective of the type of milk.

“The price has not been hiked, it has been revised. As we have increased the quantity of milk in each packet, an additional amount is being charged. This is a temporary measure. Once the milk procurement reduces, the quantity of milk in each packet will be revised and so will the rates. We have increased the quantity and the cost as milk procurement from farmers has increased and that has to be adjusted and paid back to them,” KMF Chairman Bheema Naik told TNIE.

However, this has not gone well with leaders of Opposition parties and citizens. They have accused the state government of doing this to fund the guarantee schemes.

But KMF officials defended the decision, saying the extra money earned will not go to the state exchequer. “We are not paying anything to the exchequer. The money earned will be passed on to farmers.

Decision taken after consulting milk unions & stakeholders: KMF official

“At present, we are spending a lot on converting milk into powder and storing it. This is becoming a dead stock in terms of commodity and cost.

So to dispose of the milk procured immediately, it was decided to hike the quantity and charge for the additional quantity. The decision was taken after consulting milk unions and stakeholders on Monday and the announcement was made on Tuesday,” an official said.

KMF procures 99 lakh litres of milk daily. On some days, it increases to one crore litres, this is the highest ever in the history of KMF. It makes 260 metric tonnes of milk powder every day at a cost of Rs 230 per kg. But it is sold at Rs 210 per kg. The conversion cost was becoming a burden for the KMF and unions, the official said.

“We have been procuring 15% more milk since last year. But now because of the monsoon, milk procurement has further increased. Payments to farmers should not be affected. So this decision was taken. Despite the hike, the price of Nandini milk in Karnataka is low when compared to other states,” said KMF Managing Director MK Jagadeesh.

He said after this revision, a litre of Nandini milk will cost Rs 44. In Kerala, Milma milk costs Rs 52 per litre. In Delhi, a litre of Mother Dairy milk costs Rs 54. In Gujarat, a litre of Amul milk costs Rs 56 and in Maharashtra Rs 56. In Andhra Pradesh, Vijaya milk costs Rs 58 per litre.

Dealers make moolah a day ahead

Despite the decision of the KMF and unions to hike the milk price from Wednesday, many dealers sold it for Rs 2 more on Tuesday. This left many consumers confused and agitated. “I was shocked when the local milk dealer told me to pay Rs 2 more. He told me that the price has been increased. But I was confused as the decision was not announced anywhere. I had to pay Rs 2 more,” said Lakshmi L, a homemaker. She was not the only one. Many people said they were asked to pay Rs 2 more for the same quantity (500ml) on Tuesday. Reacting to this, Jagdeesh said he will look into the matter. The revised price will come into effect on Wednesday, he added.

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