Milk dealers demanded that Aavin increase their commission to help them cope with rising expenditure. They complained that the commission has not been revised for nearly 15 years.
Pointing out that Aavin now gave a commission of ₹1.50 per litre, dealers noted that this amount was being shared by distributors and dealers.
S.A. Ponnusamy, State president, Tamil Nadu Milk Dealers Welfare Association, said the cost was already above the maximum retail price by the time it reached the retailers.
Moreover, they had to suffer a loss if the milk got spoilt or the packets sprung a leak. A dealer who sells 100 litres of milk daily suffered a loss of at least three litres and did not get compensated, he pointed out.
The traders have to sell the milk at a minimum of ₹1.50 more than the MRP to cover their expenditure. For instance, half a litre of standardised milk (green magic) is sold for ₹22 at retail market whereas the MRP is ₹20.50.
Mr. Ponnnusamy said private companies were replacing spoilt milk and leaking sachets. Aavin too must consider compensation on par with those given by their competitors. Despite petitions, action was yet to be taken, he added.
