Karnataka State Cabinet clears eight rupee per litre hike for Nandini milk

UPDATE - follow-up to Milk price hiked in Karnataka: The cost of Nandini milk across Karnataka will rise by eight rupees per litre starting November 1. The State Cabinet approved this revision on October 29 after dairy farmers pushed for higher procurement rates to cope with drought and rising expenses. Out of the eight rupee hike, seven rupees will go directly to farmers, while one rupee will go to the Karnataka Milk Federation, according to minister Krishna Byre Gowda. District unions had met with Chief Minister D.K. Shivakumar to push for the change, which had been put on hold because of the election code of conduct for the Legislative Council polls that concluded on October 27. Minister Krishna Byre Gowda noted that milk producers had even protested on the streets and legislators from all parties had asked for steps to support them.

Opposition and Concerns

Basavaraj Horatti, an MLC and former chairperson of the Legislative Council, had earlier written to Chief Minister D.K. Shivakumar and Deputy Chief Minister G. Parameshwara to ask the government to drop or lower the proposed price increase. He pointed out that ordinary families are already struggling with drought and high prices, and warned that dearer milk and public transport would stretch household budgets too far. Reports had also indicated a possible rise in bus fares by twenty to forty percent to cover transport losses.

Context

Milk cooperatives like the Karnataka Milk Federation collect milk from millions of small rural producers and supply it to urban consumers under popular brand names like Nandini. Governments often regulate or approve these retail price changes to balance the earnings of struggling farmers against the cost of living for city households.