Mother Dairy has announced that it has no immediate plans to increase milk prices further despite ongoing cost pressures in the dairy sector. The company cited a comfortable milk supply situation and stable procurement conditions as key reasons for holding prices steady, providing temporary relief to consumers following the recent ₹2 per litre milk price hike implemented on May 14, 2026.
According to Mother Dairy Chairman Meenesh Shah, milk availability remains comfortable at present, reducing the need for another immediate retail price revision. The company said it will continue to monitor procurement costs, market conditions and supply trends before making any future pricing decisions.
The statement comes at a time when India's dairy industry is facing rising input costs, including higher cattle feed prices, fodder expenses, fuel costs, packaging materials and logistics charges. In response to these pressures, both Mother Dairy and Amul raised milk prices by ₹2 per litre across multiple variants effective May 14, 2026. The companies stated that the increase was necessary to offset rising production costs and ensure sustainable returns for dairy farmers.
Mother Dairy currently supplies around 55 lakh litres of milk daily, including approximately 35 lakh litres in the Delhi-NCR region, making it one of India's largest dairy companies. The company reported a turnover of ₹20,300 crore in FY26, representing 17% growth over the previous year, and is targeting turnover of more than ₹24,000 crore in FY27.
Industry analysts note that the decision to avoid an immediate price hike reflects a cautious approach by dairy companies as they balance farmer remuneration with consumer affordability. While procurement costs remain elevated, companies are also mindful of inflationary pressures on household budgets and the potential impact of higher milk prices on demand.
Experts believe future milk price movements will depend on factors such as monsoon performance, fodder availability, procurement costs and overall inflation trends. However, the latest announcement suggests that, for now, Mother Dairy expects existing milk supplies to remain adequate despite ongoing challenges across the dairy supply chain.
Source: Dairynews7x7 03 May, 2026 Read full story here
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