Toned milk prices increased by 33% from FY 19 to FY 24

Milk Price increase

The average rate of toned milk has increased to Rs 51.83 per litre in the last fiscal year, from Rs 39 per litre in 2018-19, the government said on Tuesday.

In a written reply to Lok Sabha, Minister of Fisheries, Animal Husbandry and Dairying Rajiv Ranjan Singh said, "the Department of Animal Husbandry & Dairying (DAHD) does not regulate the procurement and sale prices of milk and milk products in the country nor gives any subsidy." Prices are decided by the cooperative and private dairies based on their cost of production and market forces, he said, adding that the department monitors the situation on a regular basis.

The average sale price for toned milk stood at Rs 38.99 per litre in 2018-19; Rs 39.81 per litre in 2019-20; Rs 44.75 per litre in 2020-21; Rs 45.64 per litre in 2021-22; Rs 48.69 per litre in 2022-23 and Rs 51.83 per litre in 2023-24, according to the data furnished by the minister.

Answering a separate question, Singh said the department is implementing many schemes to supplement the efforts of the states for the dairy-based industry.

Dairy development Schemes

The schemes are -- National Programme for Dairy Development (NPDD); Supporting Dairy Cooperatives & Farmer Producer Organizations engaged in dairy activities (SDCFPO); and Animal Husbandry Infrastructure Development Fund (AHIDF).

The beneficiary of these schemes are Dairy Cooperatives, Farmers Producers Organizations (FPOs), Self Help Groups (SHGs), Micro, Small & Medium Enterprises (MSME), private companies, Section 8 companies, and individual entrepreneurs, as per respective operational guidelines of the schemes.

"The benefits of the scheme are accruing to more than 9 crore dairy farmers engaged in dairying in terms of enhancement in milk production, productivity of bovines, strengthening of dairy infrastructure and enhancing availability of feed and fodder," Singh said.

These interventions help to reduce the cost of milk production and thereby help to stabilize milk prices and also help to enhance income from dairy farming, he added.