Amul announces price hike after Mother Dairy: Milk to be 5.5% more expensive from November 12; check new rates | Today’s news
Fresh sachet milk sold under the Amul brand will be more expensive across India from November 12, with the Gujarat Co-operative Milk Marketing Federation (GCMMF) increasing the prices of major variants by around 4-5%.
GCMMF, the apex dairy cooperative that sells milk and milk products under the Amul brand, said the revision would affect some of its best-selling fresh milk variants in operational markets.
Amul Taaza toned milk, which contains 3% milk fat, will cost as per the revised price ₹2 more per liter, representing an increase of 3.3%. Amul Gold milk, containing 6% milk fat, will see a ₹An increase of 4 per liter or a 5.5% increase.
The federation attributed the revision to rising input costs within dairy farms and commercial processing operations.
“This increase in price is due to a sharp increase in input costs for the production and processing of milk,” the dairy union said.
Why is Amul raising milk prices?
The GCMMF said rising costs of agricultural inputs and commodities have increased expenditure on livestock and day-to-day operations.
“During the year, there was a significant increase in the cost of green and dry fodder, cattle feed ingredients such as oil cake, maize and molasses, milk packaging film and fuel,” the statement added.
The federation also cited challenging climatic conditions and uneven rainfall in agricultural regions as factors behind the decision.
“In the current challenging environmental conditions due to low and uneven rainfall in Gujarat and many parts of India, we are forced to increase the consumer price of milk to pay better prices to our producers and support them in these tough times,” Amul said.
Amul says farmers’ purchase prices have increased
The federation said its member unions have increased milk purchase rates paid to farmers by 4-5% over the past year.
According to the GCMMF, the latest revision of consumer prices is intended to help maintain these payments to milk producers.
“It is important to note that 80% of the revenue collected from consumers through Amul’s cooperative structure is returned to our 36,000 milk producers,” the company said.
The cooperative added that a significant share of the increase in sales prices will be passed on to milk producers.
“A large part of the increase in the selling price of milk will go back to milk producers and they will continue to be supported to increase milk production,” the federation said.
