On August 16, both Amul and Mother Dairy announced that they were increasing the price of milk across markets by Rs 2. Now, milk is available in Delhi, Mumbai, and Kolkata, and their surrounding areas, at about Rs 52 and Rs 62 per litre for toned and full cream milk.
In Bengaluru, however, milk is available for only Rs 38 and Rs 46 per litre from Nandini -- the brand of the Karnataka Cooperative Milk Producers’ Federation or KMF.
The credit for the low price goes to a Karnataka government scheme introduced by former Chief Minister BS Yediyurappa and which was continued by the regimes that followed him.
In 2008, the BJP government under Yediyurappa started to give an incentive of Rs 2 per litre over and above the procurement price to farmers who supplied milk to dairy unions affiliated with KMF affiliated.
Read more: How fit is my cow: Amul digitisation drive offers a device to track bovine health
When Congress came to power in 2013, then Chief Minister Siddaramaiah raised the incentive to Rs 5 per litre and again the Yediyurappa government hiked it to Rs 6 per litre, encouraging farmers to supply milk to KMF affiliated dairy unions.
As a result, milk supply to KMF unions increased from an average 30.25 lakh kg per day in 2007-08 to to 74.80 lakh kg per day, The Indian Express reported.
Because of the scheme in Karnataka, not only did the state's farmers end up earning Rs 6 extra for per litre of milk, but consumers in Bengaluru also ended up paying Rs 14 per litre less for toned milk than those in other metropolitan cities.
Read more: Karnataka to stop milk supply to Andhra Pradesh as dues mount to Rs 130 crore
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