Nandhini Milk Price Hike in Karnataka: CM Siddaramaiah’s Bold Stand Explained

Karnataka CM Siddaramaiah has clarified that there will be no increase in milk prices despite changes to Nandini milk packaging and pricing structure. This announcement has sparked a political debate, with the opposition criticizing the decision. However, the government maintains that the Karnataka Milk Federation (KMF) made the decision independently.

Key Changes by KMF

The KMF recently unveiled significant changes to Nandini milk, effective from June 26. Instead of raising the price per unit of milk, KMF will increase the volume of each packet. Half-liter (500 ml) packets will now contain 550 ml, and one-liter packets will hold 1,050 ml.

Adjusted Milk Price

With the increase in volume, the prices will also be adjusted proportionally. The new prices are Rs. 24 for a 550 ml packet and Rs. 44 for a 1,050 ml packet, up from Rs. 22 for 500 ml and Rs. 42 for 1,000 ml. This means consumers will get more milk for a slightly higher price.

CM Siddaramaiah: Reasons for the Change

Chief Minister Siddaramaiah explained on social media that the primary reason for this change is to manage the increased milk production in Karnataka. Over the past year, milk production has risen by 15%, from an average of 90 lakh liters per day to 99 lakh liters per day. The new packaging is intended to accommodate this surplus and prevent milk from being rejected at collection centers.

Benefits to Farmers and Consumers

Siddaramaiah emphasized that this decision benefits both farmers and consumers. By adding 50 ml to each packet and charging only Rs. 2 more, KMF aims to effectively manage the increased milk supply and ensure that the surplus reaches consumers.

Impact on Milk Powder Production

A significant portion of Karnataka’s milk is used for milk powder production, with around 30 lakh liters daily going towards producing 250 metric tons of milk powder. The new regulation attempts to strike a balance between the demands of the liquid milk market and the milk powder business.

Government Support for Dairy Farmers

The government has been actively supporting dairy farmers. Since coming into power, the government increased the milk price by Rs. 3, directing additional funds to farmers and making dairy farming more profitable. Additionally, good rainfall has provided ample green fodder for cattle, contributing to increased milk production.

Milk production in Karnataka has now reached nearly 1 crore liters per day. Siddaramaiah emphasized that the KMF’s decision to increase milk volume per packet is designed to handle this increased production in a way that benefits both farmers and consumers, ensuring a steady supply of milk without rejecting surplus production.