Business
Karnataka raises milk price by Rs 8 a litre
The Hindu BusinessLine·
The Karnataka Cabinet on Thursday hiked milk prices by Rs 8 per litre from November 1. Minister Krishna Byre Gowda said Rs 7 goes to farmers and Re 1 to cooperatives. Farmers now get about Rs 35 per litre plus a Rs 5 incentive. After the hike, the farmgate rate is Rs 42, or Rs 47 with incentive.
Prism
What It Means For You
- From November 1, milk-producing farmers are to be paid Rs 42 per litre before the state incentive.
- With the continuing Rs 5 incentive, the total rises to Rs 47 per litre.
- Cooperatives receive an extra Re 1 per litre under the same Cabinet decision.
What's Happening
- Gowda said the Cabinet acted after protests by milk producers and pressure from cooperatives.
- He said members of all parties in the Legislative Council had sought farmer support.
- The minister said the decision was unanimous under the chief minister’s chairmanship.
How the Split Works
- Of the Rs 8 increase, Rs 7 is for farmers and Re 1 for milk cooperatives or unions.
- Farmers had asked for at least Rs 10 per litre during talks with ministers.
- Gowda said the Cabinet concluded that a Rs 10 rise could not be done.
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