The Gujarat Cooperative Milk Marketing Federation [GCMMF] markets milk and milk products under the brand name Amul. It has increased the price of fresh milk by INR 2 per litre, effective from June 3, 2024, in all markets nationwide. Jayen Mehta, MD of GCMMF, The price of Amul milk across all variants has been raised by INR 2 litres with effect from June 3. Mehta said that the last time GCMMF raised the milk price was in February 2023. The hike will help compensate farmers for their increased cost of production.
Also read | 7th Phase Of Lok Sabha Elections – WB Witnessed Violence
Revised prices
After the revision, Amul buffalo milk will cost INR 73 per litre, and cow milk will cost INR 58 per litre. The increase in price has led to INR 2, per litre which translates to a 3-4% increase in MRP, which is lower than the average food inflation rate.
The GCMFF said in a statement that the increase in INR 2 per litre has translated to a 3-4% increase in MRP which is much lower than the average inflation. Further, it is important to note that since February 2023 Amul has made no increase in the prices of fresh pouch milk in major markets.
Rationale for price hike
The federation has attributed the hike to the rise in input costs. According to Jayen Mehta, M. D. of GCMMF, the increase is necessary to compensate farmers for their increased cost of production. He stated, “Our member unions have also increased farmers’ prices approximately by 6-8% over the last year.”
The hike in prices is being done due to the increase in the overall cost of operation and production of milk. Amul has a policy that passes on almost 80 paise of every rupee paid by consumers for milk and milk products to milk producers. The GCMMF said that the price revision will help in sustaining remunerative milk prices to their milk producers and encourage them to increase milk production.
Also read | Agnikul Cosmos Launches Agnibaan SOrTed, India’s First Ever 3D-Printed Semi-Cryogenic Engine
The consumer’s reaction
Many consumers have voiced their frustration over the price rise and said that even a 2 rupee hike becomes a burden for the middle class. One consumer stated, “As soon as elections are over, they increase the prices. Even the road tax has been increased. It becomes difficult for the middle class.”
However, other consumers have understood the reason behind the hike in prices. One consumer said, “An increase in 1 or 2 rupees doesn’t make a difference. They need to run their business too. It probably was not enough for them before, which is why they raised the price.”
About Author
This Article has been written by Ms Vijaya Pramodini SK, an aspiring journalist, who is currently dedicated to her studies in Journalism and communication. With a keen eye for authenticity, she strives to uncover and present the real facts, embodying the principles of ethical journalism.
