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OMFED Raises Milk Procurement Price by ₹1/Litre, Offers Relief to Odisha Dairy Farmers

In a move aimed at supporting dairy farmers amid rising production costs, the Odisha State Cooperative Milk Producers’ Federation has announced a ₹1 per litre increase in milk procurement price across the state.

OMFED Raises Milk Procurement Price by ₹1/Litre, Offers Relief to Odisha Dairy Farmers

Revised Rates Effective from May 1

With the latest revision, farmers will now receive:

  • ₹39.05 per litre, up from the previous ₹38.05 per litre

The new rates came into effect on May 1, 2026, coinciding with International Labour Day—a symbolic gesture highlighting the importance of supporting rural producers.

Why the Price Hike Matters

The decision comes in response to sustained demands from farmers facing escalating input costs, including:

  • Cattle feed and fodder
  • Dry hay
  • Veterinary medicines
  • Farm maintenance expenses

Officials acknowledged that rising costs have been squeezing farmer margins, making the revision necessary to ensure economic viability.

Read More: Amit Shah Lays Foundation for 10,000 LPD Dairy Plant in Kargil, Boosting Ladakh’s Rural Economy

A Step Toward Farmer Welfare

According to OMFED authorities, the price hike is intended to:

  • Improve farmer income stability
  • Encourage continued milk production
  • Strengthen the cooperative dairy ecosystem

The federation reiterated its commitment to proactive interventions that support milk producers while maintaining steady growth in Odisha’s dairy sector.

Impact on the Rural Economy

Though modest in value, the increase is expected to benefit thousands of dairy farming families across the state. Experts note that even small price adjustments can significantly impact farmer earnings when scaled across daily milk volumes.

At a broader level, such measures contribute to:

  • Strengthening rural livelihoods
  • Enhancing cooperative participation
  • Supporting agricultural sustainability

The Bigger Picture

With states across India revising procurement prices in response to cost pressures, Odisha’s move reflects a wider trend in the dairy sector—balancing farmer welfare with market stability.

For now, the hike offers timely relief. But the larger question remains: will incremental increases be enough to keep pace with rising input costs in the long run?

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