The new price will come into effect by August 10
Your Nandini milk, supplied by the Karnataka Milk Federation (KMF), will become dearer by Rs. 2 a litre, most likely by August 10.
The KMF board, which met here on Saturday, passed the proposal for hiking price and will discuss with the government before announcing the date for implementing it.
While KMF had passed on the hike amount to the farmers in earlier instances, this time it will keep the additional revenue for its expansion projects.
The hike follows the State government’s decision to allow the federation to hike the milk price to fund infrastructure projects. Currently, a litre of the popular toned milk costs Rs. 27 in the Old Mysore region, including Bangalore and Rs. 28 in coastal and north Karnataka districts. “The cost of three powder-conversion plant units, with a combined capacity to handle 10 lakh litres, is about Rs. 270 crore, while UHT plants to pack milk in brickpacks (for supply to schools) will cost us between Rs. 160 and Rs. 180 crore. The additional revenue will be used to fund these projects,” KMF Managing Director A.S. Premnath, said. He also pointed out that the federation could realise additional revenue from about 55 per cent of the total milk procured. While the federation procures 55 lakh kg of milk daily, it sells about 31 lakh litres daily.