Amul, Mother Dairy raise milk prices from November 12 amid supply concerns

Milk prices are set to rise across several categories from Thursday, November 12, with dairy major Amul planning an increase of Rs 2 to Rs 6 per litre. Mother Dairy has also revised its rates by Rs 2-4 per litre, adding to the burden on household budgets.

According to news agency ANI, citing industry sources, Amul's price revision will differ across milk variants. Toned milk will cost Rs 2 more per litre, while full cream milk will see a Rs 4 increase. Full cream buffalo milk will become costlier by Rs 6 per litre.

Amul milk price hike: Which variants will cost more?

The steepest increase will apply to full cream buffalo milk, which contains 6.5 per cent fat. Its price will rise from Rs 80 to Rs 86 per litre.

The increase comes amid tightening milk supplies and higher procurement costs. A rise in milk fat prices has also added to the pressure on dairy companies, even during the flush season when milk production generally improves.

Mother Dairy revises prices across milk categories

Mother Dairy has announced a price revision of Rs 2-4 per litre across its liquid milk variants, effective November 12.

In Delhi-NCR, toned milk sold through bulk vending machines will now cost Rs 60 per litre, up from Rs 58. Full cream packaged milk will be priced at Rs 76, against Rs 72 earlier.

Packaged toned milk will cost Rs 62 per litre, while double-toned milk will be available at Rs 56. Both variants have become costlier by Rs 2 per litre. Cow milk prices have increased from Rs 62 to Rs 65 per litre.

Mother Dairy sells more than 50 lakh litres of milk daily across markets and is among the largest suppliers in Delhi-NCR.

Why are milk prices increasing?

Rising procurement costs, limited milk availability and higher cattle feed prices have contributed to the latest revisions. Milk fat prices have reportedly increased by around 20-25 per cent over the past few months.

Amul has raised the procurement rate linked to milk fat to Rs 1,000 per kilogram, allowing farmers to receive more than Rs 60 per litre for milk, according to the report.

Dairy companies also use milk powder and milk fat to make liquid milk when fresh procurement falls short. However, higher fat prices have made this option more expensive, adding to production costs.