After Amul & Mother Dairy, DMS may soon hike milk price: Agri Min

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Press Trust of India New Delhi
Last Updated : May 27 2019 | 6:05 PM IST

Dairy firm Delhi Milk Scheme (DMS) is expected to soon hike retail milk prices in the national capital in line with major competitors Mother Dairy and Amul to ensure remunerative rates to farmers, Animal Husbandry Secretary Tarun Shridhar said Monday.

Other cooperative milk brands like Nandini and Sudha are most unlikely to do so as state governments are cross-subsidising them on payments made to farmers, he said.

Shridhar, however, ruled out any possibility of fixing a uniform retail price for milk across states given the variation in the cost of input and productivity of animals.

The DMS, set up in 1959, has milk production and packaging capacity of 5 lakh litres per day, besides a network of 1,298 outlets in the NCR.

"Both Amul and Mother Dairy have hiked milk prices. The DMS will soon follow suit as its retail prices are linked with Mother Dairy, which is a wholly-owned subsidiary of National Dairy Development Board (NDDB)," Shridhar told PTI.

Last week, both Mother Dairy and Amul raised the price of milk by Rs 2 per litre in a bid to pay farmers better rate factoring in high input cost.

Amul is the dairy brand marketed by Gujarat Cooperative Milk Marketing Federation (GCMMF).

Asked if dairy companies like Nandini (Karnataka) and Sudha (Bihar) will also increase milk prices, the Secretary said: "It depends ... In fact, Amul' retail milk prices are lower when compared to other brands. It also pays a much higher rate to farmers as against other cooperatives."
Ruling out a possibility of fixing a uniform milk rate in the country, Shridhar said, "It is not feasible to have uniform pricing for milk. Milk prices are linked to input cost, productivity and quality. I don't think it is possible."

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First Published: May 27 2019 | 6:05 PM IST

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