The Karnataka Milk Federation (KMF) and various milk unions in the state had demanded a hike of Rs 5 per litre, citing severe losses.
However, chief minister Siddaramaiah, after a marathon meeting with representatives of milk unions and KMF officials, allowed a hike of Rs 3 per litre.
The price of every variety of milk sold by KMF will be raised by Rs 3 per litre.
The basic variety of Nandini milk (pasteurized toned milk in blue packet), which currently sells for Rs 39 per litre, will henceforth cost Rs 42.
Following his meeting with the chief minister, cooperation minister KN Rajanna told the media that it was inevitable on the part of the government to revise milk prices, keeping in mind the financial well-being of dairy farmers.
“The farmers were incurring huge losses due to considerable increase in cattle feed prices over the past few months. The chief minister has directed that the Rs 3 per litre hike be fully transferred to the farmers,” the minister said.
The Karnataka Milk Federation (KMF) and the state milk unions claimed dairy farmers were migrating to private dairy operators as they were being offered lucrative prices for their products.
At the meeting with KMF officials and milk union representatives, the CM is said to have refused to buy the argument of financial losses. “The government has set up milk unions not to make a profit but serve the public while safeguarding the interests of farmers. If you have incurred losses due to your unscientific and incorrect management practices, the government cannot take responsibility for that,” the CM reportedly said.
In response, milk union representatives said many of them had made profits in the past and only during the last three months had they incurred a loss.
