MUMBAI: Milk prices in Maharashtra will increase by ₹2 per litre for both cow and buffalo milk from August 11, following a decision by the Milk Producers and Processors Welfare Association.
The price revision comes amid rising input and procurement costs and ongoing discussions over ensuring remunerative returns for dairy farmers while keeping milk affordable for consumers.
No MSP for milk, Centre clarifies
The price hike comes against the backdrop of the Centre’s recent clarification that there is no proposal to introduce a Minimum Support Price (MSP) for milk.
In a written reply to a starred question in the Lok Sabha, Union Minister for Fisheries, Animal Husbandry and Dairying Rajiv Ranjan Singh (Lalan Singh) said milk prices are currently determined by cooperatives and private dairies based on market conditions.
The government said it is instead implementing various measures aimed at protecting dairy farmers, stabilising milk prices, safeguarding consumer interests and strengthening quality monitoring.
36,283 new dairy cooperatives established
As part of efforts to bring more milk producers into the organised dairy sector, the government said 36,283 new Dairy Cooperative Societies (DCS) had been established at the village level by March 2026, while 31,150 existing societies had been strengthened.
The government also reported significant expansion in dairy infrastructure:
- 168 lakh litres/day of milk chilling capacity created.
- 76,748 milk quality-testing devices distributed.
- Projects with 418 lakh litres/day of milk processing and value-addition capacity approved.
These measures are aimed at improving milk collection, chilling, quality testing, processing and value addition across the dairy value chain.
Also Read: Tamil Nadu to Facilitate Purchase of 12,500 Milch Cows to Boost Aavin Procurement
Milk production rises 69% in a decade
India’s milk production increased from 146 million tonnes in 2014-15 to 248 million tonnes in 2024-25, representing growth of about 69%.
The government attributed the increase to interventions including breed development, genetic improvement, free artificial insemination, sex-sorted semen and in-vitro fertilisation.
It said 172.7 million artificial inseminations have been carried out, increasing artificial insemination coverage from 20% to 42% and contributing to a reported 67% increase in milk productivity.
Maharashtra hike highlights pricing challenge
The ₹2-per-litre increase in Maharashtra illustrates the continuing challenge of balancing three competing objectives: better returns for dairy farmers, financial sustainability for processors and affordable milk for consumers.
With milk prices not governed by an MSP mechanism, procurement and retail prices remain largely dependent on market conditions, cooperative decisions and private-sector pricing.
Dairy industry takeaway: India’s milk production has expanded rapidly, but ensuring that this growth translates into stable farmer incomes, efficient procurement, stronger processing infrastructure and reasonable consumer prices remains a central challenge for the dairy sector.
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