Mother Dairy Increases Milk Prices from Today

This is now the fourth time in 2022 that Mother Dairy, the major milk supplier in Delhi-NCR, has increased milk rates. With volumes of more than 30 million litres per day, the company is among the top milk suppliers in Delhi-NCR.

With effect from today, Monday, November 21, Mother Dairy, India's largest milk supplier, has raised the price of full-cream milk by Re 1 per litre and token milk by 2 per litre in the Delhi-NCR market. The cost of full-cream milk packaged in 500 ml containers hasn't changed, though, according to the business.

As per the company's spokesperson, Mother Dairy has increased the price of full-cream milk by Re 1 to 64 per liter. Now token milk (bulk vended milk) will be sold for Rs 50 per liter as opposed to the current rate of 48 INR.

The hike in rates has been linked to an increase in the price of purchasing raw milk from dairy producers.

"This year, the entire dairy industry is witnessing a huge gap in the demand and supply of milk. The rising cost of feed and fodder as well as the irregular rainfall have a negative impact on raw milk availability and prices. The ongoing mismatch in the demand-supply, even after the festive season, has further led to the firming of raw milk prices. We are therefore constrained to partially pass on the impact with revision in consumer prices of certain variants, " Mother Dairy spokesperson told the media.

Additionally, Mother Dairy reported an increase in demand for processed milk. The business added that the price adjustment would allow it to continue providing farmers with fair compensation while guaranteeing that consumers would receive high-quality milk.

The company operates hundreds of milk booths and Safal retail locations in Delhi-NCR. About 75–80% of the price that consumers pay to Mother Dairy is transferred to milk producers.

Another significant competitor in the Delhi-NCR market is Gujarat Cooperative Milk Marketing Federation (GCMMF), which sells milk under the Amul brand. Each day, it sells close to 40 lakh litres.

There are 9 dairy processing facilities owned by Mother Dairy. Over 50 lakh litres of milk can be processed in total per day. The company manufactures edible oils through 16 connected factories while it has 4 plants for fresh fruits and vegetables. The milk output in India is nearly 210 million tonnes per year.