Amul, Mother Dairy raise milk prices

Companies blame increase in price of cattle feed and high procurement costs.

India’s leading milk supplier Amul on Saturday raised milk prices by ₹2 per litre in Gujarat, Delhi-NCR, West Bengal and Maharashtra.

“Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets dairy products under Amul brand, has decided to revise the milk prices by ₹2 per litre being sold in Ahmedabad and Saurashtra markets of Gujarat, Delhi NCR, West Bengal, Mumbai and Maharashtra from December 15, 2019,” the cooperative said in a statement.

In Ahmedabad, the price of Amul Gold will be ₹28 per 500 ml, and Amul Taaza will be sold for ₹22 per 500 ml.

However, there will be no change in price of Amul Shakti which continues to be available at ₹25 per 500 ml.

“This year the price of cattle feed has increased by more than 35%. Considering increase in cattle feed and other input costs, our member unions have increased milk procurement price in the range of ₹100 to ₹110 per Kg fat which is more than 15% increase than last year for the 36 lakh milk producers of Gujarat,” the statement said.

Amul said it passes on almost 80 paise of every rupee paid by consumers for milk and milk products to the producers.

This increase in milk prices by ₹2 per litre has been done with an aim to sustain remunerative price to milk producers and encourage them for higher milk production, it added.

GCMMF supplies 1.4 crore litres per day of milk across the country, of which 33 lakh litres is for Delhi-NCR.

Mother Dairy hikes prices due to rising procurement cost

In Delhi-NCR region, Mother Dairy raised prices by up to ₹3 per litre due to lower supply and rise in procurement cost. The new prices will be effective from Sunday, it said.

Prices of both token and poly pack milk have been increased in a range of ₹2-3 per litre.

The price of bulk vended milk (token milk) has been hiked by ₹2 to ₹42 per litre.

In poly packs, full cream milk rate has been raised by ₹2 to ₹55 per litre. Price of half litre full cream milk has been hiked to ₹28 from ₹27.

Price of cow milk too has been raised by ₹3 per litre to ₹47 per litre.

“Milk availability across various states is under severe stress due to adverse climatic conditions including extended monsoon and delayed start of the flush season. The adverse climatic conditions have also resulted in a significant increase in feed and fodder prices … This has impacted the prices paid to milk producers. The raw milk prices, which in a normal year come down during the winter months, have firmed up substantially,” Mother Dairy said in a statement.

The prices paid to milk producers have increased by about ₹6 per litre in the last few months, up by almost 20% compared to the corresponding period last year, it said.

Mother Dairy supplies more than 30 lakh litres of milk per day in the Delhi-NCR market through retail outlets.

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