A Litre of Nandini Ghee Fixed At Rs 700 a Litre

BENGALURU: Nandini ghee of Karnataka Milk Federation (KMF), a subsidiary of State Government, sees a drastic jump in its prices for a litre from Rs 610 to Rs 700 and the revision of prices came into effect from Wednesday. After rationalisation of Goods and Services Tax (GST), the price of a litre ghee had dropped from Rs 650 to Rs 610.

After the price of ghee went up, Bangalore Urban, Rural and Ramanagara District Co-Operative Milk Producers Societies Union president D.K. Suresh, a former Member of Parliament, told reporters in Bengaluru on Wednesday an appeal has been made to the State Government on rising milk prices and made it clear “No proposal has been submitted on hiking milk prices.”

The hike in ghee a litre is set right the loss the Federation is facing after the State Government hiked Rs 4 a litre for milk producers/farmers from April this year. On an average Karnataka Milk Federation procures about 1 crore litre a day and about 50 litre are sold in the market and surplus milk/unsold milk produced undergoes conversion for skimmed milk and also used for “Kshreera Bhagya” supplying free milk to students of government schools.

The unsold milk in Karnataka is resulting in financial losses to the Federation and a hike in price of a litre of ghee was initiated by the Federation to set things right, stated an official of KMF.

Explaining on the loss faced by Federation, the official said, since April this year after the State Government took a decision to directly transfer Rs 4 hike for a litre milk procured to milk producers/farmers.

The official stated the hike in ghee has been made keeping in mind the private brands in the market and stated private brands charge excess than the price fixed by Milk Federation so as not to burden consumers.

In reply to question over supplying ghee to Tirumala Tirupati Devasthanams (TTD) of Andhra Pradesh for making laddus, the official said TTD agreed to pay Rs 716 for a litre of ghee supplied by KMF.