The Hindu : Tamil Nadu News : Price of milk to go up tomorrow

Online edition of India's National Newspaper
Wednesday, Jan 31, 2007
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Tamil Nadu

Tamil Nadu

Price of milk to go up tomorrow

Staff Reporter

CHENNAI: The Tamil Nadu Dairies Association, which has 25 dairies operating across the State except Chennai, plans to increase the price of milk by between Re.1 and Rs.2 a litre from February 1.

Addressing presspersons here, secretary R. Rajasekaran said the increase was proposed to provide relief to milk producers. Toned milk, widely consumed by people, would cost Rs.16 a litre from Thursday. The price of standardised milk would be increased to Rs.17.50 from Rs.16. He justified the price revision, saying the processing costs had steeply increased in the past few years.

The rise in the cost of fodder and livestock medical expenditure and a steady increase in labour cost since 2001 had contributed to the price hike, he said.

President A. Samiappan said the procurement price would also be increased from Thursday. The association accounted for 6-7 lakh litres of the State's total milk production of 65 lakh litres. While 42 lakh litres was being sold as branded product, 13 lakh litres was sold directly. Dairy farmers used the remaining for domestic purpose.

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Tamil Nadu