Milk Price Cut: Milk procurement rate has decreased by up to 10 percent in the last few months. At the same time, the demand for milk products has remained low even during the summer.
Milk Procurement Price: While on one hand there has been a continuous increase in the price of milk in the country, on the other hand major dairies in North India and Maharashtra have made a big reduction in the purchase price of milk. Dairies have reduced the procurement price of milk by 10 per cent during the last 15 days.
There will be no increase in the price of milk!
Industry officials said that the benefit will not be passed on to the customers, which means there will be no change in retail milk prices. However, the officials said that there will be only one relief for the customers that there will be no increase in the price of milk for a few months.
Milk powder and butter prices fell
About two months ago, there was a demand from a section of Indian dairies to start importing milk, as the prices of skimmed milk powder (SMP) and white butter were seen to rise due to the shortage of milk. However, the prices of SMP and butter have declined by 5-10 per cent during the last two weeks.
Hoarding increased in the markets
Industry veterans attributed the fall in prices to inclement weather and release of accumulated stocks into the market. Experts said that due to the delay in the onset of the summer season, the demand for ice cream, curd, buttermilk and other beverages has not yet reached the level of peak summer demand, leading to hoarding in the markets. Due to increase in the prices of milk and milk products by 14 to 15 percent in the last 15 months, there has been a decrease in demand.
RS Sodhi, president of the Indian Dairy Association, said that the start of the summer season has been delayed due to rain. Due to this, the demand for ice cream, curd, buttermilk and other summer products has increased less and still it has not reached the peak demand. Apart from Maharashtra, Punjab, Haryana and Uttar Pradesh, dairies in some parts of Delhi have reduced the price of milk powder and butter.
By how much the prices of milk, milk powder and butter have decreased
Due to the reduction in the prices of butter and milk powder, the purchase rate of milk has been reduced by Rs 3 to 5 per liter in the states. Milk powder has reduced by Rs 20-30 per kg to Rs 290-310 per kg, while the price of butter has reduced by Rs 25 to 30 per liter to Rs 390-405 per kg.
