Katraj Dairy, operated by the Pune District Cooperative Milk Producers’ Union, has increased the retail price of its milk by ₹2 per litre, effective May 13, 2025. Following this hike, full cream milk is now priced at ₹74 per litre, while toned milk costs ₹64 per litre. The decision was attributed to rising expenses in transportation, processing, and administrative operations.
This price adjustment follows an earlier increase in procurement rates, where the dairy raised the price paid to farmers by ₹2 per litre for milk containing 3.5% fat and 8.5% Solid Not Fat (SNF). Currently, most dairies in the region procure milk at rates exceeding ₹35 per litre. To support dairies offering a base price of ₹35 per litre to farmers, the Maharashtra state government has announced a subsidy of ₹5 per litre.
The summer season has led to a decline in milk production due to heat-induced stress on cattle, resulting in lower yields. This reduction in supply has compelled dairies to increase procurement prices to meet demand. It is anticipated that the onset of the monsoon will alleviate production challenges and stabilize prices.
Industry Insight:
The price hike by Katraj Dairy underscores the ongoing challenges faced by the dairy industry, including increased operational costs and seasonal fluctuations in milk production. Stakeholders must navigate these dynamics to ensure sustainability and affordability within the sector.
Source : DAirynews7x7 May 15th 2025 The Indian Express