Karnataka raises Nandini milk price by Rs 8 a litre from November 1
The state Cabinet approved the hike after farmer protests, and most of the extra money goes to the people who produce the milk.
Karnataka's Cabinet has approved an Rs 8 per litre increase in the price of Nandini brand milk, with the new rates taking effect on November 1. Minister Krishna Byre Gowda announced the decision on Thursday after the meeting, and he said the lion's share of the increase will reach dairy farmers.
Of the Rs 8, Rs 7 goes directly to the farmers who supply milk, and Re 1 goes to the cooperatives, including the Karnataka Milk Federation (KMF), which markets Nandini products. Farmers currently receive about Rs 35 per litre from the cooperatives, plus a government incentive of Rs 5 per litre. After the change, the base payment rises to Rs 42, and the incentive stays in place, bringing the total to Rs 47 per litre for each litre the farmer delivers.
The push came from several directions. Gowda said members of every party in the Legislative Council had urged the government to help farmers, who are facing a financial squeeze. Milk producers had also staged street protests, and the cooperatives themselves had asked for a higher price. Farmers had wanted Rs 10, but the government judged that a bigger jump was not feasible, so it settled on Rs 8.
For shoppers, the change is a noticeable jump. Nandini milk currently sells for Rs 46 per litre, and the new price will be Rs 54. Gowda argued that even at that level, Karnataka's price would still sit below the rates charged in several other states. Households that buy milk every day will feel the difference in their monthly budgets, so the real test will be whether the extra income keeps farming families producing milk in the months ahead.
The decision also signals how much pressure dairy producers can put on state policy when they organise. Protests moved the matter from farm gates to the Cabinet table within a short time, and the outcome gives the government a visible response to a sector that supports many rural households across the state.
Read the original report at dailypioneer.com.
