Milk consumers across Maharashtra are set to face a higher daily expense from August 11, with major cooperative and private dairies deciding to raise the prices of cow and buffalo milk by ₹2 per litre.
The price revision has been attributed to rising expenses faced by milk producers, processors and dairy companies, particularly in transportation, packaging and procurement.
Why Are Milk Prices Increasing in Maharashtra?
The decision was taken during a meeting of the Milk Producers and Processors Welfare Association, chaired by its president Gopalrao Mhaske.
Representatives of major cooperative and private dairy companies agreed to revise milk prices after assessing the increase in operating and supply-chain costs.
According to the association, the higher expenses have put additional pressure on dairy businesses, prompting the latest price adjustment.
Diesel and Packaging Costs Add to Dairy Expenses
One of the major concerns highlighted by the association is the increase in transportation costs.
The association said diesel prices have risen by around ₹10 per litre, increasing the cost of transporting milk from producers to processing facilities and eventually to consumers.
Packaging expenses have also reportedly increased by around 30 per cent, adding further pressure to the overall cost of dairy operations.
Higher Milk Procurement Costs Also a Concern
Dairy companies are also facing increased procurement expenses as the prices paid to milk producers have risen.
The association indicated that procurement costs could increase further, putting additional pressure on dairies.
Since the cost of procuring raw milk forms a significant part of the final retail price, higher procurement rates can directly influence the price consumers pay.
Dairy Products Could Become Up to 10% More Expensive
The impact may not be limited to fresh milk.
The association has also decided to increase the prices of various dairy products by up to 10 per cent. The actual increase is expected to differ depending on the product and the dairy company.
This could make several commonly consumed milk-based products more expensive in Maharashtra.
Higher Household Expenses Expected From August 11
The revised milk prices will come into effect across Maharashtra from Tuesday, August 11.
For households that purchase milk every day, the ₹2-per-litre increase could add to monthly grocery expenses. The increase in dairy-product prices could further raise household spending, particularly for regular consumers of milk-based products.
The latest move comes as dairy operators seek to offset rising procurement, transportation and packaging costs across the supply chain.
