Accepting a key demand from the Progressive Dairy Farmers’ Association, the price revision offers immediate financial relief against surging cattle feed and input costs.
An article by Hindustan Times reports that Punjab Chief Minister Bhagwant Mann has approved a ₹40 per kilogram of fat increase in milk procurement rates, delivering long-awaited financial relief to dairy producers across the state. The decision directly addresses a long-standing demand submitted by the Progressive Dairy Farmers’ Association (PDFA) to offset mounting operational expenses and stabilize smallholder farmgate margins.
With the new pricing structure, the procurement rate for cow milk rises from ₹810 to ₹850 per kilogram of fat, while buffalo milk procurement moves from ₹850 to ₹890 per kilogram of fat. In Punjab’s cooperative procurement system, payments are calculated dynamically based on the total weight of pure fat contained in the milk pool rather than a flat per-liter rate. Crucially, the chief minister confirmed that the revised procurement rates will take effect retrospectively from July 21.
The policy announcement followed a formal meeting in Chandigarh between Chief Minister Mann and a PDFA delegation led by association president Daljit Singh Gill Sadarpura alongside members of the executive committee. During the talks, farm representatives highlighted the severe economic pressure placed on commercial and small-scale operations by soaring cattle feed, fodder, and veterinary care prices, which had pushed many dairy households into financial distress.
Responding to the delegation’s presentation, Mann affirmed the state government’s commitment to supporting agricultural diversification and allied farm sectors. Emphasizing that “our government does not make farmers wait,” the chief minister pledged ongoing engagement with dairy stakeholders to ensure long-term farm viability, fair returns, and adequate infrastructure support across Punjab’s rural milk sheds.
The PDFA leadership welcomed the state’s prompt intervention, noting that the procurement adjustment will help cover rising production costs and protect producer livelihoods. By increasing raw milk acquisition rates through state channels, the decision is also expected to influence private dairy processors to raise their own farmgate prices across northern India to remain competitive.
Source: Hindustan Times
You can now read the most important #news on #eDairyNews #Whatsapp channels!!!
eDairy News ÍNDIA: https://whatsapp.com/channel/0029VaPidCcGpLHImBQk6x1F
