Milk Price Raised Before Ganeshotsav, Here' Why Customers Will Not Pay More

· Free Press Journal

Pune: The Pune District Cooperative Milk Producers’ Union in Maharashtra has raised the procurement price of cow and buffalo milk by Rs 1 per litre, offering relief to dairy farmers just before Ganeshotsav. The revised rates will take effect from Friday.

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Farmers supplying milk to district cooperative collection centres across Pune will receive Rs 1 more for every litre. However, consumers will continue paying the existing retail price, as Katraj Dairy has decided not to pass on the increase.

Why Procurement Prices Were Raised?

The union attributed its decision to rising expenses for cattle fodder, animal feed and transportation. These costs have squeezed farmers’ earnings in recent months, making the procurement-price revision necessary.

The increase applies only to the amount paid to farmers for raw milk. The dairy union has clarified that packet-milk prices for households and other customers will remain unchanged.

Why Consumers Will Not Pay More?

Procurement and retail prices are different. The procurement price is what a dairy company or cooperative pays farmers when buying raw milk. The retail price is what customers pay when purchasing packaged milk from shops.

Only the procurement rate has been increased in this case. Katraj Dairy will absorb the additional Rs 1 per litre instead of transferring the burden to buyers, protecting household budgets ahead of the festive period.

What Is the Revised Rate?

Following the revision, the procurement price of cow milk containing 3.5% fat and 8.5% solids-not-fat, or SNF, will rise from Rs 39.80 to Rs 40.80 per litre.

Maharashtra Milk Prices To Rise By ₹2, Dairy Products To Cost More From August 11

Milk and khoya demand typically increases by 35% to 40% during Ganeshotsav because sweets such as pedas, modaks and barfi are prepared and purchased in large quantities.

The Pune decision comes after the Mumbai Milk Producers’ Association recently announced a steep increase of up to Rs 9 per litre in buffalo-milk prices. Katraj Dairy’s move, however, offers higher returns to farmers while shielding customers from an immediate price rise during the festival season.

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