Nandini Milk Rs 3 . Expensive; Relief to milk producers

The price of Nandini milk has been increased by Rs 3 per liter. The Karnataka Milk Marketing Federation (KMF) had sought a Rs 5 hike from the government for its Nandini brand of milk. However, Chief Minister Siddaramaiah has approved a price hike of Rs 3. This has brought some relief to KMF along with milk farmers.

The decision to increase the price of Nandini milk was taken in a meeting held by Chief Minister Siddaramaiah with officials of the Milk Sangh and the Karnataka Milk Marketing Federation (KMF). The procurement of Karnataka Milk Federation is very less as compared to other milk unions.

At the same time, even though the government is giving a subsidy of Rs.5, the Karnataka Milk Federation is facing a shortage of milk due to the high rates offered by other competing milk buyers’ associations. Hence other milk products cannot be manufactured by Karnataka Milk Federation at present. Because due to the difference in the price of milk, they are suffering because they cannot afford it.

Against this backdrop, the current rate hike of Rs 3 is also a relief for KMF. On the contrary, the burden of Rs 3 hike will fall on the pocket of the consumers. But as compared to other brands of milk, Nandini milk price increase is less so there will be no impact on Nandini’s sales.

As the Federation is trying to reach more consumers of Nandini milk, even though the price of milk has increased, the Federation is likely to increase the sales of Nandini milk by planning a definite solution plan. As Nandini milk is being sold well in Goa, Maharashtra along with Karnataka, the profit of Karnataka Milk Marketing Federation is likely to increase. Meanwhile, the price hike of Nandini milk by Rs 3 per liter will be effective from August 1.

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