The State Cabinet that met on Thursday is learnt to have cleared the proposal by Karnataka Milk Federation (KMF) to hike the selling prices of its ‘Nandini’ milk by ₹3 a litre. The new prices would come into effect from August 1.
A meeting of representatives of KMF and district milk unions convened by Chief Minister Siddaramaiah on July 21 had decided to hike the consumer prices of milk. The meeting had decided to pass on the proceeds from the increase in prices to farmers.
Though the KMF had sought a hike of ₹5 a litre, the Chief Minister had agreed to a hike of ₹3.
The consumer prices of milk was last increased in November 2022 by ₹2 a litre. Despite that hike, the selling price of Nandini milk in Karnataka is cheaper when compared with that of private companies. While KMF milk’s price starts from ₹39 a litre, private firms are selling their milk in the range of ₹48 to ₹52 a litre.
Presently, the milk procurement price for farmers is pegged at ₹30 a litre as the milk unions recently slashed the price by ₹2.85. The farmers are concerned that milk production would be a loss-making venture as the prices of cattle feed and hay stock have gone up.
