Gokul, Katraj raise milk prices by ₹2/litre amid rising procurement and operating costs

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Gokul, Katraj raise milk prices by ₹2/litre amid rising procurement and operating costs
Gokul, Katraj raise milk prices by ₹2/litre amid rising procurement and operating costs

Pune/Mumbai: Milk consumers in Maharashtra are set to pay more as major cooperatives Gokul and Katraj Dairy revise milk prices from August 11, citing higher procurement and production costs.

Gokul, Katraj raise milk prices by ₹2/litre amid rising procurement and operating costs

Gokul, Maharashtra’s largest cooperative milk union, will increase the retail price of its buffalo milk by ₹2 per litre, taking the price of a one-litre pouch to ₹78 in Mumbai and Pune. The cooperative, however, will keep the retail price of its cow milk unchanged.

The price revision follows an increase in payments to dairy farmers. Gokul has raised the procurement price of buffalo milk by ₹1.50/litre and cow milk by ₹1/litre. The revised procurement rates stand at ₹55/litre for buffalo milk containing 6% fat and ₹37/litre for cow milk containing 3.5% fat.

Farmer returns at the centre of revision

The cooperative said the higher procurement rates are intended to improve returns to milk producers amid rising fodder and other production costs, while accounting for fluctuations in milk availability.

The development comes as dairy processors across Maharashtra face higher expenses related to transportation, packaging and milk procurement.

Industry representatives also expect prices of several value-added dairy products to increase. According to the Maharashtra Rajya Dudh Vyavsayik Sanghatana, higher sugar and packaging costs could push dairy-product prices up by up to 10%.

Katraj also raises prices

Katraj Dairy will similarly increase its milk prices by ₹2 per litre from August 11. The decision was taken by the Pune District Cooperative Milk Producers’ Union.

Also Read: Daily full-fat dairy may not raise weight or cholesterol, Canadian study finds

The revision is expected to affect not only liquid milk but potentially products such as sweets and other dairy-based foods as input costs continue to rise.

Adulteration crackdown adds another dimension

The price increase comes against the backdrop of Maharashtra’s intensified enforcement against analogue and non-dairy dairy products.

Authorities have recently taken action against manufacturers and sellers of analogue paneer and other substitutes. The crackdown could strengthen demand for genuine dairy products, but it also highlights the challenge facing consumers: maintaining affordability while ensuring farmers receive remunerative prices and processors maintain quality.

What it means for Maharashtra’s dairy sector

The latest revisions underline the growing pressure across the dairy value chain. Higher farmer procurement prices are positive for milk producers, but processors must balance those costs against consumer affordability.

For Maharashtra, the central challenge will be maintaining this balance while controlling input costs, improving milk productivity and ensuring that genuine dairy products remain competitive against cheaper substitutes.

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