Following price hikes in milk prices by Amul and Parag Milk Foods, Mother Dairy on Saturday announced that it will increase the prices of milk by Rs 2 per litre in Delhi-NCR from Sunday.
The company cited rise in procurement costs as the reason for increasing milk prices.
“In view of the rising procurement prices (amount paid to farmers), fuel costs and costs of packaging material, Mother Dairy is compelled to raise its liquid milk prices by Rs 2/litre in Delhi NCR with effect from March 6, 2022,” news agency PTI quoted the company as saying in a statement.
The company has been experiencing a surge in varied input costs which have increased multifold, it said, adding that procurement prices have alone firmed up by about 8-9 per cent since July 2021. Other costs have also gone up.
“The surge in farm prices is only being partially passed on to the consumers, with an effective revision of only 4 per cent, which is lower than the increase witnessed in the farm prices and overall food inflation, thereby securing the interests of both the stakeholders,” Mother Dairy said.
The company’s full cream milk will sell at Rs 59 per litre from Sunday from Rs 57 per litre earlier, while cost of toned milk will increase to Rs 49 per litre. Price of double toned milk will increase to Rs 43 per litre, while cow milk will cost Rs 51 per litre from Rs 49 per litre earlier.
Mother Dairy has also increased milk prices by Rs 2 per litre in Haryana, Western Uttar Pradesh and Uttarakhand, while prices in markets beyond these region will be revised in a phased manner, the company said.
Mother Dairy milk is available in over 100 cities across the country.
Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets milk and milk products under the Amul brand, announced hike in milk prices by Rs 2 per litre from March 1.
Dairy firm Parag Milk Foods Ltd also raised the price of Gowardhan brand of cow milk by Rs 2 per litre with effect from March 1.
GCMMF sells 150 lakh litres of milk per day, out of which Delhi-NCR accounts for around 37 lakh litres per day.
In Delhi-NCR, Mother Dairy sells more than 30 lakh litres per day in poly packs and vending machines.