Amul, India's leading dairy cooperative, has announced a price hike of Rs 2 per litre on all milk variants, effective from May 14. The decision comes amid rising production costs and increased input expenses, including cattle feed and transportation.
Price Revision Details
The new prices will apply to all Amul milk categories, including full cream, toned, double toned, and skimmed milk. For instance, the price of Amul Gold (full cream milk) will increase from Rs 64 to Rs 66 per litre, while Amul Taaza (toned milk) will now cost Rs 57 per litre instead of Rs 55. The revision is expected to impact consumers across the country, particularly in urban areas where Amul has a strong presence.
Reasons for the Hike
According to an official statement from Amul, the price increase is necessary to offset the surge in operational costs. The cooperative highlighted that input costs such as cattle feed, veterinary services, and energy have risen significantly over the past few months. Additionally, the peak summer season has led to a decline in milk production, further straining supply chains.
Amul's managing director stated, "We have tried to absorb the costs for as long as possible, but the sustained increase in expenses has compelled us to revise prices. We assure our consumers that we remain committed to providing quality milk at competitive rates."
Impact on Consumers
The price hike is likely to add to the household expenses of millions of families who rely on Amul milk. With inflation already a concern, this move may strain budgets. However, Amul has assured that the increase is minimal and necessary to maintain the quality and availability of milk.
Market Reaction
Following the announcement, other dairy players are expected to follow suit, potentially leading to a broader increase in milk prices across the country. Analysts note that the dairy industry is facing margin pressures due to rising raw material costs, and such adjustments are common during summer months.
Amul's decision comes just ahead of the summer season, when milk demand typically rises. The cooperative has urged consumers to understand the need for the revision and continues to offer various value-added products at stable prices.
