Bad news for milk-totallers! Your glassful of doodh has become even dearer by 5% with milk price set to rise by Rs2 per litre from July 1. This revision in milk prices in Gujarat comes after a period of nine months. After central government started deregulating diesel from January 2013 onwards, this is for the first time that Gujarat Co-operative Milk Marketing Federation (GCMMF) has hiked milk prices.
From next month onwards, a litre of Amul Gold is likely to cost Rs42 (two pouches) from the current Rs40. Similarly, price of Amul Shakti is expected to rise to Rs38 per litre from the existing Rs36 per litre. Amul Taza and Slim & Trim, which are sold for Rs29 and Rs27 per litre, respectively, may be priced at Rs31 and Rs29 per litre from July 1 onwards.
In last five months, diesel prices have escalated by over 7% from about Rs52 per litre to Rs56 per litre in the state. At the same time, due to insufficient and delayed rains in previous year, there is scarcity of feeding stock, which too has pushed up costs.
While repeated attempts to contact officials of federation including chairman of GCMMF, Vipul Chaudhary and managing director of federation, RS Sodhi went in vain, an official from the company confirmed that the federation has decided to hike milk prices from July 1, but only in Gujarat.
In previous month, GCMMF hiked milk prices by Rs2 per litre in Delhi. At that time, Sodhi said that federation will keep the prices stable for a while in Gujarat. However, federation had to pass on rise of input costs to consumers, even in Gujarat.
In April 2013, chairman of Parag Milk Foods, Devendra Shah paid a visit to Ahmedabad and said there are high possibilities price rise in milk and diary products by 8% soon. The drought situation was not just limited to Gujarat.
“The situation was equally bad in southern states. As an impact, milk supply has gone up but if the situation worsens, the dairy industry may have to hike prices by 5% to 8% in the next 3-6 months. Not only domestic factors, but we also have to consider international scenario now and many countries have experiencing drought this year. This has led to a rise in milk and other dairy products internationally. Hence, the impact of price rise is likely to come on India soon,” he had said, then.
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