In response to rising production costs, the district administration of Hyderabad has announced a new hike in milk prices. Following recommendations from the Livestock Department, the price of milk in the city has been increased by Rs 15 per litre, setting the new retail price at Rs 215 per litre. The wholesale rate has also been adjusted to Rs 200 per litre.
Official Notification and Price Adjustments
The official notification from the district administration outlines the changes in milk pricing, marking a significant adjustment to accommodate the increased costs faced by dairy farmers. The decision to raise the prices comes after careful consideration of the economic pressures affecting the dairy industry, including rising feed costs and general inflation.
In June, Commissioner Karachi also announced new milk prices following discussions with the Dairy Farmers Association. The retail price of milk in Karachi was set at Rs 220 per litre, an increase of Rs 20. The wholesale and dairy farmer prices were fixed at Rs 205 and Rs 195 per litre, respectively.
Dairy Farmers’ Demands and Market Conditions
Dairy farmers have been advocating for higher milk prices to offset the declining profits caused by increasing operational costs. Despite a decrease in petroleum prices, which affects transportation and logistics costs, the overall expenses for maintaining dairy farms have risen. Feed, healthcare for livestock, and general maintenance costs have all contributed to the farmers’ push for higher milk prices.
According to an agreement between the Commissioner of Karachi and the dairy farmers, the price adjustment was necessary to ensure the sustainability of dairy farming. A copy of this agreement, obtained by ARY News, confirms that the new prices were set to balance the farmers’ needs with consumer affordability.
Terms of the Agreement
The agreement between the dairy farmers and the Karachi administration includes several stipulations to regulate the milk market. Dairy farmers are required to adhere to the new official prices and are prohibited from demanding further increases until December 31. The agreement also mandates that purchase and sale rates be clearly displayed at all levels of the supply chain to ensure transparency and compliance.
The quality of milk from dairy farms to retailers is to be maintained to prevent any compromise on product standards. This measure aims to protect consumers while ensuring that dairy farmers receive a fair price for their products.
Broader Implications
The increase in milk prices in Hyderabad follows a similar trend seen in Karachi, reflecting broader economic pressures on the dairy industry across the country. As operational costs continue to rise, further adjustments in milk pricing may be necessary to sustain the industry.
Consumers in Hyderabad and Karachi are advised to prepare for the new prices and consider the underlying factors contributing to these adjustments. The collaboration between government authorities and dairy farmers highlights the importance of finding a balance that supports both the producers and the consumers.
The recent changes in milk pricing underscore the dynamic nature of agricultural economics and the need for adaptive strategies to maintain the viability of essential industries like dairy farming. The ongoing dialogue between stakeholders is crucial in navigating these challenges and ensuring the continued availability of high-quality dairy products in the market.
