Amul raises milk prices by Rs 2–4 per litre from Nov 12

New Delhi: Gujarat Co-operative Milk Marketing Federation (GCMMF), which markets dairy products under the Amul brand, has increased fresh pouch milk prices by Rs 2–4 per litre, effective Thursday, November 12.

The revision covers major milk variants and packs across India, the federation said in a statement on Wednesday. Amul had last raised milk prices in May this year.

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"The price of our largest-selling Amul Taaza toned milk with 3 per cent milk fat has been increased by only Rs 2 per litre (3.3 per cent increase) and Amul Gold Milk with 6 percent milk fat by Rs 4 per litre (5.5 percent rise)," GCMMF said.

Higher input costs

The federation attributed the increase to a steep rise in milk production and processing costs. Prices of green and dry fodder, cattle feed ingredients such as oil cake, maize and molasses, packaging film and fuel have increased significantly during the year, it said.

GCMMF also cited low and uneven rainfall in Gujarat and several other parts of India, saying the resulting difficulties had necessitated higher consumer prices to support milk producers.

Support for farmers

The federation said its member unions had increased procurement prices paid to farmers by 4–5 percent over the past year, and a further revision would provide additional support.

About 80 percent of revenue collected from consumers through the Amul cooperative structure is returned to its 36 lakh milk producers, according to GCMMF.

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A major portion of the latest retail price increase will flow back to producers, helping support their earnings and encourage higher milk production, it added.

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