Shivakumar: Karnataka Milk Federation decided curd price increase

Source: timesofindia.indiatimes.com
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DK Shivakumar attributed the curd price increase to Karnataka Milk Federation (KMF), distancing the Karnataka government from the decision. He said the government had intervened only on milk prices and that KMF adjusted other rates according to fat content.
Shivakumar: Karnataka Milk Federation decided curd price increase

Shivakumar said the cabinet had approved an increase of Rs 8 on Thursday, compared with the Rs 12 sought by milk producers. Following the revision, toned milk will sell for Rs 54 per litre and Shubham for Rs 60 per litre. He defended the increase as a way to support farmers’ spending on cattle feed and fodder.

Farmers needed money to feed their cattle properly, Shivakumar said, warning that production would otherwise continue to fall. He invoked respect for Gomata in urging support for cattle protection. He also attributed a decline in milk output to drought and said milk availability was falling. According to Shivakumar, higher prices in neighbouring states had prompted Karnataka farmers to send milk across state borders.

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His office released comparative pricing data to support its position that Nandini products remained less expensive than private-sector alternatives. The figures, dated September 12, put Nandini curd at Rs 54 per litre, compared with an average of Rs 68.4 for private brands. They listed Nandini toned milk at Rs 46 per litre, against a private-brand average of Rs 52.8.

The same comparison priced Samruddhi full-cream milk at Rs 55 per litre, as much as Rs 19 below competing products. The study proposed periodic price adjustments linked to fat and solid-not-fat content, following the practice of private dairies. Its stated purpose was to prevent cooperative milk unions from incurring losses.

Shivakumar put Karnataka’s dairy-farmer population at 2.88 million and said small and marginal farmers accounted for 67% of KMF members. He described the price decision as a step towards fair payment for producers, particularly during drought. He also said his government was committed to safeguarding farmers’ interests while keeping quality milk affordable for consumers.

Union minister Pralhad Joshi criticised the increases, accusing the government of using KMF to conceal fiscal mismanagement and depleted public finances. He said poor and middle-class households would bear the greatest burden and accused the Congress government of benefiting while consumers faced higher prices.


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