The meeting with milk union representatives at Vidhana Soudha. Photo supplied with the press statement.
Bengaluru: Karnataka’s cooperative milk producers’ unions have sought an increase of Rs 8–10 per litre in Nandini milk procurement and selling prices, prompting Chief Minister D K Shivakumar to ask officials for a comprehensive assessment of production costs and rates in neighbouring states.
A delegation of the unions met Shivakumar at Vidhana Soudha on Tuesday. The statement on the meeting reports a request for a price revision and a direction to submit information; it does not announce an approved increase or an implementation date.
Production costs and procurement volumes sought
Shivakumar directed officials to provide details of the rise in cattle-feed prices over the past 10 years, the cost of producing a litre of milk, and procurement and selling prices in neighbouring states.
He also sought district-wise information on how much milk was being sold outside the cooperative unions and how much the unions were procuring.
D K Suresh cites rising costs and drought pressure
Speaking for the delegation, BAMUL president D K Suresh said expenditure on cattle feed, fodder, veterinary treatment and maintenance had risen steadily, significantly increasing milk production costs.
He said drought-related crop shortages had reduced farming income and constrained fodder availability, putting dairy farmers under pressure.
Suresh said cooperatives and private dairies in other states had been increasing the prices of milk and milk products. He maintained that the unions had not increased milk prices for the past year and a half in consumers’ interests.
Private dairies were seeking to collect more milk, intensifying competition for procurement, he said.
Delegation cites interstate price gap
Suresh put the Karnataka procurement rate at Rs 35 per litre and cited rates of Rs 41.50 in Andhra Pradesh, Rs 41.80 in Kerala, Rs 41 in Maharashtra and Rs 42.24 in Tamil Nadu. These figures were presented by him in support of the delegation’s request.
He also said Karnataka’s maximum milk selling price was at least Rs 12 per litre below those in neighbouring states.
The Chief Minister’s direction calls for the cost, procurement and interstate pricing information to be submitted for consideration of the unions’ demand.
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Atul Chaturvedi 
