Come the New Year, you may find yourself paying more for milk. According to a report from the Economic Times, major dairy producers like Amul and Mother Dairy are looking to increase their prices soon to benefit farmers.
Drops in Stock
There has been a drop in the stock and availability of milk products and, in response to this, dairy producers are anticipating that they will have to increase prices. By charging more to customers they will be able to pay more to farmers which will in turn lead to a better production of milk.
“By the end of March, carry forward stock of skimmed milk powder (SMP) will be 50% less of last year and hence we might have to again increase farmers’ prices, which will impact the price in the market,“ said RS Sodhi, managing director, Gujarat Cooperative Milk Marketing Federation which runs the Amul brand to the Economic Times.
Mother Dairy has indicated that it too will increase prices. Meanwhile, the Kolhapur District Co-operative Milk Producers, also known as Gokul recently announced it will increase its milk price by Rs.1 from next year.
In June, Amul raised its milk prices in Delhi and NCR, while Verka, a Punjabi milk brand raised its milk prices the same amount in August. In South India, Heritage increased its milk price by Rs.2 in Chennai.