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Vijaya Dairy Announces Milk Price Hike From September 14
Vijaya Dairy plans to make seven kinds of milk more expensive from September 14.
The new prices will apply to everyone, including people who buy milk with monthly cards.
The dairy says its costs have gone up.
These costs include paying milk farmers, fuel, transportation and packaging.
The dairy recently raised the prices it pays to milk producers.
CPM members protested against the new customer prices in Vijayawada.
They said the increase would make life harder for families already facing higher prices.
Vijaya Dairy says the change is necessary to keep operating and asked consumers for their support.
Vijaya Dairy will raise prices by up to Rs.2 per litre across seven milk varieties from September 14.
The revised prices apply to all consumers, including monthly cardholders.
Gold milk will cost Rs.40 per 500 ml, while full cream milk will cost Rs.39.
The dairy cited higher procurement, diesel, transport, packaging and operating costs for the increase.
CPM leaders protested in Vijayawada, calling the hike an added burden on poor and middle-class families.
- Who
- Vijaya Dairy, formally the Krishna District Milk Producers Mutually Aided Cooperative Union Limited, announced the increase; CPM leaders and cadres opposed it.
- What
- Milk prices across seven varieties will rise by up to Rs.2 per litre, with revised prices applying to all consumers.
- Where
- The price announcement concerned Vijaya Dairy in Vijayawada, while the protest took place at the milk project main gate in Chittinagar, Vijayawada.
- When
- The new prices take effect on September 14, coinciding with Vinayaka Chaturthi; the announcement was made on the preceding Saturday.
- Why
- Vijaya Dairy cited increased milk procurement, diesel, transportation, packaging-material and other operational costs.
Opposition to the hike
Dairy’s justification
Effect on consumers
Opposition to the hike
CPM leaders said the increase would add to the burden on poor and middle-class families already facing higher prices for essential goods.
Dairy’s justification
Vijaya Dairy said the revision was unavoidable because its procurement and operating expenses had substantially increased.
Impact on the dairy sector
Opposition to the hike
CPM State Secretariat member Ch Baburao alleged that the hike could encourage private dairies to raise their prices and claimed the government was weakening the Krishna District Milk Union for private companies’ benefit.
Dairy’s justification
Vijaya Dairy said it had recently increased procurement prices to benefit around 1.50 lakh milk producers and appealed for cooperation from distributors, retailers and consumers.
Scale of the burden
Opposition to the hike
Baburao alleged that the Rs.2-per-litre increase would impose an immediate burden of about Rs.36 crore on consumers and that repeated increases had created an annual burden exceeding Rs.100 crore.
Dairy’s justification
The dairy’s stated rationale focused on rising input and operational costs rather than an estimate of the total consumer burden.
Key facts
- Effective date
- September 14
- Affected products
- Seven milk varieties
- Gold milk
- Rs.40 per 500 ml, up from Rs.39
- Full cream milk
- Rs.39, up from Rs.38
- Recent procurement increase
- On August 29, procurement prices rose by Rs.3 per buffalo and Rs.3.50 to Rs.4 per cow, depending on category.
- Beneficiaries of procurement increase
- Around 1.50 lakh milk producers
- Protest location
- Vijaya Dairy milk project main gate, Chittinagar, Vijayawada
Sources
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