Following Amul’s recent price hike, Mother Dairy has announced an increase in the prices of its liquid milk by Rs 2 per litre across all markets in the country. This new pricing will take effect from June 3, 2024.
New Rates in Delhi-NCR
In the Delhi-NCR region, the updated prices for Mother Dairy milk will be:
- Rs 68 per litre for full cream milk
- Rs 56 per litre for toned milk
- Rs 50 per litre for double-toned milk
Reasons for the Price Increase
Mother Dairy has attributed this price hike to the rising production costs experienced over the past year. The company explained that the increased consumer prices are primarily to compensate producers for these heightened costs. Despite higher milk procurement costs, consumer prices were maintained until now.
Impact of Heat Stress on Production
The company highlighted that the unprecedented heat stress across the country is expected to further impact milk production, necessitating the price adjustment. This follows a similar move by the Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets the Amul brand.
Amul’s Price Increase
Amul had also announced a Rs 2 per litre price increase for fresh pouch milk, effective June 3. The new rates for Amul Taaza milk will be Rs 56 per litre and Amul Gold will be Rs 68 per litre. Amul emphasized that this price hike represents a 3-4 percent increase in MRP, which is lower than the average food inflation.
Supporting Farmers
Amul noted that their policy is to pass on almost 80 paise of every rupee paid by consumers to the milk producers. This price revision aims to sustain remunerative milk prices for producers and encourage higher milk production. Over the past year, member unions have increased farmer prices by about 6-8 percent.
Conclusion
Both Mother Dairy and Amul have increased milk prices to address rising production and operational costs. These adjustments aim to support farmers while ensuring a stable milk supply in the market.
