Bangalore: Milk Price to be Hiked by Rs 5 a Litre?

Bangalore, Dec 19 (DHNS): Milk price in the state is set to undergo one more reverse this year, as Karnataka Milk Federation (KMF) is asking the state government permission to hike the price of milk by Rs 5 a litre.

The decision has been taken at a KMF board meeting on December 17 and the federation is likely to place its request to the government on Tuesday.

Despite being an autonomous body, the KMF usually sticks by the government’s decision on price hike.

Speaking to reporters, Chief Minister D V Sadananda Gowda has said he would take a decision keeping the interests of farmers and the consumers in mind once the KMF proposal reaches him.

The hike, if accepted by the government, would increase the price of commonly used toned Nandini milk from Rs 21 to Rs 26.

The hike would also apply correspondingly to all Nandini products such as double toned milk and Shubham milk or standard milk and curd (in kg).

If accepted, this would be the second time the government would be hiking milk prices this year. In February, the price of milk was increased by Rs 2 against the KMF proposal of Rs 3.

KMF Managing Director A S Premnath said the hike has been proposed following pressure from all the 13 milk unions in the state, who have asked for a Rs 5 price hike citing increased input costs in milk production.

The dairy farmers have been asking for the hike for a long time, he added.  Insisting that the hike is necessary for both farmers and customers, Premnath said that KMF prices would continue to be amongst the lowest in the country even if the price were to be hiked to Rs 26 per litre.

Unions procure milk from farmers at Rs 18.90 per litre. The KMF is yet to fix the quantum hike in milk procurement.