Kerala’s leading dairy cooperative increases milk prices by ₹4 per litre amid rising production and procurement costs.
Kerala Cooperative Milk Marketing Federation, widely known as Milma, has announced a ₹4 per litre increase in milk prices, with the new rates taking effect from June 1. The move comes as dairy cooperatives across India face mounting pressure from higher production costs and farmer payment demands.
According to the report, the price revision aims to support dairy farmers dealing with rising feed, labor, and operational expenses. Cooperative leaders emphasized that improving producer returns remains essential to sustaining milk production and ensuring long-term supply stability in the state.
The increase is expected to impact consumers across Kerala, where Milma holds a dominant position in the organized dairy market. Despite concerns over inflation, officials argued that the adjustment was necessary to protect farmer livelihoods and maintain the financial health of the cooperative system.
The development reflects broader trends in the Indian dairy industry, where milk procurement prices have risen steadily due to higher input costs and weather-related production challenges. Dairy processors and cooperatives are increasingly balancing the need for affordable consumer pricing with stronger payments to milk suppliers.
For international dairy market observers, the Milma decision highlights how regional cooperatives remain central to India’s dairy economy. Pricing strategies, farmer support mechanisms, and cooperative-led supply chains continue to shape one of the world’s largest and fastest-evolving milk markets.
Source: Mathrubhumi – Milma hikes milk price by ₹4 per litre from June 1
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