CHENNAI: A hike in Aavin milk price could be in the offing in the wake of growing demand by retailers in several parts of the state that government should hike the price of milk sachets sold over the counter.
But, sources told TOI that no final decision has been taken on increasing the price yet. "We have sent a proposal to the government seeking a hike in the price of per litre of milk sold across the counter as private producers have increased it several times in the last one year. The government has not responded to our request yet," said a source.
Currently, Aavin is the only brand which is selling milk per litre at Rs 31, whereas private brands are selling at Rs 42 per litre. While the private milk brands increase the price per litre at least twice a year, Aavin price has not been increased. But, the government hiked the procurement price by Rs 3 in December last year.
"While the private milk brands have increased the price and the procurement price has also gone up, our price has not increased. This led to many farmers selling milk to private brands as they get more money and our loss has also increased. We have asked the government to increase the price," said the source.
Aavin increased the price of butter and ghee in January. The price of cooking butter (500gm) was increased from Rs 130 to Rs 160 and that of ghee (1 litre) from Rs 290 to Rs 370. Cheese, another popular product, saw a hike of Rs 15 per 200gm packet. However, price of items, including milk, ice cream, yoghurt, hot milk and butter milk, remain the same.
Chennai city alone consumes around 25 lakh litres of milk a day, of which Aavin supplies 11.50 lakh litres.
Private milk brands constitute around 11 lakh litres. Around 3 lakh litres of unpacked milk is also sold in and around the city.
But, sources told TOI that no final decision has been taken on increasing the price yet. "We have sent a proposal to the government seeking a hike in the price of per litre of milk sold across the counter as private producers have increased it several times in the last one year. The government has not responded to our request yet," said a source.
Currently, Aavin is the only brand which is selling milk per litre at Rs 31, whereas private brands are selling at Rs 42 per litre. While the private milk brands increase the price per litre at least twice a year, Aavin price has not been increased. But, the government hiked the procurement price by Rs 3 in December last year.
"While the private milk brands have increased the price and the procurement price has also gone up, our price has not increased. This led to many farmers selling milk to private brands as they get more money and our loss has also increased. We have asked the government to increase the price," said the source.
Aavin increased the price of butter and ghee in January. The price of cooking butter (500gm) was increased from Rs 130 to Rs 160 and that of ghee (1 litre) from Rs 290 to Rs 370. Cheese, another popular product, saw a hike of Rs 15 per 200gm packet. However, price of items, including milk, ice cream, yoghurt, hot milk and butter milk, remain the same.
Chennai city alone consumes around 25 lakh litres of milk a day, of which Aavin supplies 11.50 lakh litres.
Private milk brands constitute around 11 lakh litres. Around 3 lakh litres of unpacked milk is also sold in and around the city.
