Hike in milk prices likely from June 28

Thiruvananthapuram: The milk price hike announced by the State government is expected to come into effect on June 28 or, at the latest, on July 1, though the Kerala Cooperative Milk Marketing Federation (Milma) is yet to take a formal decision in this regard.

It was on Wednesday that the government announced a price hike of Rs.3 a litre, thereby raising the consumer price of milk from Rs.20 to Rs.23 a litre.

Milma officials say that they are waiting for an official communication from the government before the price hike can be effected.

Milma had written to the government in April proposing a price hike of Rs.5 a litre as the cost of production was going up. And milk procurement was coming down with dairy farmers quitting the sector in large numbers.

Milma also proposed that it would not take any margin from the price hike and that 92 per cent of the hike (Rs.4.60) be given to farmers and the rest as incentives to agents and milk societies.