Consumers buying Amul milk will have to pay more from Thursday, November 12, after the Gujarat Cooperative Milk Marketing Federation (GCMMF) announced an increase in prices across its key fresh pouch milk categories.

The revision will affect markets across India, with prices of popular variants Amul Taaza and Amul Gold going up by Rs 2 and Rs 4 per litre, respectively. The cooperative has attributed the decision to mounting expenses across the dairy supply chain and the need to ensure better earnings for milk producers.

Amul Taaza, its largest-selling toned milk variant with 3% fat content, will see a 3.3% increase. Amul Gold, which contains 6% milk fat, will become 5.5% more expensive.

Higher input costs drive price revision

GCMMF said the cost of producing and processing milk has risen substantially over the past year, leaving the cooperative with little choice but to revise retail prices.

Among the key factors cited were rising prices of green and dry fodder, along with essential cattle feed ingredients such as oil cake, maize and molasses. The cost of packaging film and fuel has also increased, adding to the overall burden on dairy operations.

Unfavourable weather conditions have further complicated matters for farmers. The federation pointed to low and irregular rainfall in Gujarat and several other parts of the country, which has affected the conditions in which dairy producers operate.

The cooperative said the latest increase was necessary to maintain adequate payments to farmers amid these pressures.

Amul says farmers will benefit from higher prices

GCMMF said its member dairy unions had already raised the prices paid to farmers for milk procurement by 4-5% over the last year. The latest consumer price adjustment is expected to provide additional financial support to producers.

The federation highlighted the cooperative's revenue-sharing model, under which approximately 80% of the money received from consumers is returned to its network of around 36 lakh milk producers.

It said a substantial portion of the additional revenue generated through the revised retail rates would reach farmers, helping them manage higher costs and sustain milk production.

Households to feel the impact

The increase is likely to affect household budgets, particularly those of families that depend on packaged milk for daily consumption. With the revised rates applying to major fresh pouch variants across Amul's Indian markets, consumers will begin paying more from November 12.

GCMMF has maintained that the move is intended to strike a balance between rising production expenses and the need to provide dairy farmers with remunerative prices.