Karnataka approves an Rs 8 Nandini milk price increase

Karnataka’s Cabinet approved a proposal to raise Nandini milk prices by as much as Rs 8 per litre. The decision was taken on Tuesday, but its public announcement has been delayed because the Model Code of Conduct is in force for Legislative Council elections.

The government plans to obtain the Election Commission’s permission before putting the increase into effect. The Cabinet has authorised Chief Minister DK Shivakumar to decide the final size of the rise and how it will be implemented. Ministers who attended the meeting said the new prices could start on November 1, subject to that clearance.

Under the proposal, Rs 6 of the increase would be directed to milk producers and Rs 2 to milk unions. If the full amount is passed on to consumers, one litre of toned milk in the blue packet would cost Rs 54, compared with its current price of Rs 46.

The proposed change would be the fifth revision of Nandini prices since November 2022. Prices increased by Rs 3 in November 2022, by another Rs 3 in July 2023, by Rs 2 in June 2024 and by Rs 4 in March 2025. Consumers were also given an extra 50ml per litre in June 2024, but the Karnataka Milk Federation later ended that arrangement.

A minister said the proposal had been approved in response to difficulties faced by farmers during the drought, including crop losses and a lack of fodder. Milk unions that met Mr Shivakumar had requested an increase of Rs 8 to Rs 10 per litre, citing expenses for cattle feed, fodder, medicines, transport and plastic packaging.

The unions also compared Karnataka’s procurement price with those in neighbouring states. They said toned milk was bought from producers at Rs 35 per litre in Karnataka, against Rs 41.50 in Andhra Pradesh, Rs 41.80 in Kerala, Rs 41 in Maharashtra and Rs 42.20 in Tamil Nadu.

Amul and Mother Dairy raised their milk prices by Rs 2 per litre from May 14. The companies attributed those increases to higher operating costs and inflation.