Daijiworld Media Network – Bangalore (SP)

Bangalore, Feb 11: Karnataka Milk Federation (KMF) chairman, Somashekhar Reddy, announced that a final decision on the proposal to increase the prices of milk by three to four rupees a litre, would be taken within the next two weeks. He was addressing a press conference here on Wednesday February 10.

“Upward revision of milk prices has not been affected during the last two and half years. The price of ‘Nandini’ brand of milk, which is presently being sold at Rs 16 a litre, may go up to Rs 19 a litre,” he explained. He reasoned that the milk producers have been incurring losses because of  the fact that price of milk has remained constant, even though the cost of raw materials has gone up substantially during the last two years. Reddy added that the farmers are presently getting eight to nine rupees per litre of milk, whereas the milk production cost has gone up to Rs 15 a litre.

“Consultations were held with the Chief Minister on this proposal and he has given his approval for the price hike orally. Out of the proposed increase, 80% will go to the farmers. It is likely that the farmers would be able to get Rs 17 per litre of milk. At present, through an order, the KMF is barred from affecting an increase in milk prices, because of a standing order of the state government. We will increase the price once this order is withdrawn,” he said. He pointed out that the price of milk at present in Gujarat stands at Rs 24 per litre,  Rs 20 in Kerala, Rs 18 in Tamil Nadu and Rs 22 in Goa.  The government has released Rs 115 crore recently towards subsidy to milk producers, and none of the milk unions in the state are facing losses at present, he claimed.