Surat District Co-operative Milk Producers’ Union Ltd, commonly known as SUMUL dairy, increased the purchase price per kilo fat of cattle milk (both cow and buffalo) from dairy farmers in Surat and Tapi districts by Rs 30 on Tuesday, the highest increase in its history.
As a result, farmers will receive Rs 780 per kilo fat of cow milk, up from Rs 750 previously, and Rs 810 per kilo fat of buffalo milk, up from Rs 780 previously.
According to sources, the decision was made during the Sumul Dairy board of directors’ general meeting on Monday. The increase went into effect on Tuesday.
“It (the current hike) is the highest in history,” says one hiker. “Because we are a cooperative society, we share profits with the milk producers,” said Sumul Dairy senior director Jayesh Patel. SUMUL has raised the purchase price of cattle milk for the first time this year. Prices were raised three times last year.
“Milk producers have been burdened financially as cattle feed prices, transportation, and other expenses have risen. As a result, we have decided to increase the purchase price per kilo fat from milk producers,” said Mansinh Patel, chairman of SUMUL Dairy.
At the same time, the increase in purchase prices is likely to result in an increase in milk prices for consumers in the coming days.
Sumul Dairy purchases approximately 14 lakh liters of milk per day from approximately 2.5 lakh registered milk producers in the Surat and Tapi districts, with a daily payment of Rs 8 crore. The dairy authorities have established 1,200 mandlis in various talukas throughout Surat and Tapi districts to collect milk from milk producers.