In a recent announcement that brings festive cheer to consumers, Amul Milk has assured that it does not foresee any price hikes at the moment, thanks to the timely monsoon in Gujarat. GCMMF Managing Director, Jayen S. Mehta, stated on Wednesday that Amul is not expecting any price increases this year due to favorable conditions. The Gujarat Cooperative Milk Marketing Federation (GCMMF) markets its dairy products under the popular Amul brand. This news comes as a significant relief to consumers, as previous forecasts had suggested elevated milk prices leading up to the festive season, attributed to rising fodder costs and a decline in milk production due to lumpy skin disease.
The timely monsoons have played a crucial role in alleviating pressure on dairy producers by keeping feed and fodder costs in check. Mehta was quoted by PTI as saying, “The situation is pretty good this year because of timely monsoons in Gujarat, which means the pressure on producers for feed and fodder costs is not high, and we are entering the flush season of milk procurement, so we are not anticipating any hike.”
Regarding investment plans, Mehta mentioned that they are consistently investing nearly Rs 3,000 crore each year, and this commitment is set to continue for several years. He stated, “With an increase in milk procurement and the need for expanded processing facilities, we will be announcing a new dairy plant in Rajkot with a capacity of more than 20 lakh liters per day, along with new packaging and processing units.”
Addressing the demand for import duty concessions in the dairy sector under free trade agreements (FTAs), especially from the European Union (EU), Mehta emphasized that milk is a vital source of livelihood for over 10 crore families in India, with most of the producers being small and marginal farmers. He pointed out that if developed countries were to flood the Indian market with their surpluses, it would pose a significant challenge to Indian farmers. He reassured that the government recognizes this concern, which is why the dairy sector has been excluded from all FTAs.
As for the current prices, one liter of Amul Gold full cream milk presently costs Rs 66. While the company did increase milk procurement prices by Rs 30 to Rs 850 per kilo fat in August, this adjustment did not lead to price hikes for consumers.
