Milk price may go up by Rs. 2

Staff Reporter

Karnataka Milk Federation has moved a proposal

The hike is likely to come into effect after BBMP polls

However, milk will still be cheaper than in other cities

BANGALORE: An increase in the price of Nandini milk is likely to be announced soon after the elections to the Bruhat Bangalore Mahanagara Palike (BBMP) Council, with the Karnataka Milk Federation (KMF) moving a proposal.

The Government has not made any announcement but a KMF source told The Hindu that it would be a two-rupee hike.

At present, Nandini milk is priced between Rs. 16 and Rs. 22 a litre, depending on the fat content.

The hike is necessary as producers are burdened by rising production costs which make dairy farming unviable, the source said.

The benefit of price hike would be passed on to the farmers.

Comparative prices prevailing in other States have been considered before finalising the proposal, the source said.

The source added that though the procurement rate for farmers was comparable to any other State, the selling price was still the least in the country.

“Despite the hike, Nandini milk will be cheaper than in other cities,” the source said, clarifying that the price hike was not due to decline in milk production.

Last hike

The price of Nandini milk was last hiked by Rs. 2 a litre in November 2007.

KMF’s subsequent attempts to up prices were stalled last year by the Government, which instead announced Rs. 2 a litre as incentive for farmers.

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