Dip in milk procurement, costs more likely to enhance in Maharashtra

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The continued drought has effected an virtually 20 per cent dip in milk procurement as farmers discover it tough to supply fodder and water for his or her animals.

Retail milk costs within the state are all set to rise as dairies complain of dip in milk procurement. The continued drought has effected an virtually 20 per cent dip in milk procurement as farmers discover it tough to supply fodder and water for his or her animals.

On Monday, the Gujarat Cooperative Milk Advertising Federation — the proprietor of name Amul — had effected a Rs 2 per litre value rise in its milk pouches. Thus, a litre of milk by the model will now price Rs 44, which was earlier priced at Rs 42. This may be the primary time in two years the cooperative large has elevated the retail value of milk. Elevated price of manufacturing in view of dip in procurement, the Federation mentioned, had compelled them to extend the value.

In Maharashtra, most dairies have reported a 20 per cent dip in procurement however haven’t taken any choice about mountaineering retail costs. Even dairies within the in any other case flush districts of western Maharashtra have reported a dip in manufacturing. The decrease manufacturing, nonetheless, has not resulted in any windfall positive factors for farmers as dairies have determined to cut back the procurement value of milk. As towards the federal government declared value of Rs 25 per litre for milk with 3.5 per cent fats and eight.5 per cent SNF (stable not fats), dairies have mentioned they may pay Rs 23 because the state authorities’s subsidy of Rs Three per litre has stopped. On a median, Maharashtra stories 1.25 crore litres of milk procured by dairies every day.

The worth slash comes at a time when Skimmed Milk Powder (SMP) costs have firmed up within the home markets. Low SMP value was the reason for dairies slashing the procurement value in 2018. Vinayak Patil, president of the Maharashtra Milk Farmers and Processors Welfare Affiliation, confirmed that talks of value hike are within the offing.

“The association will be meeting in Pune on Tuesday to take a final call,” he mentioned.

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