Dairy farmers out to milch customers dry

After Karachi, traders in Hyd plan sharp hike in milk prices from Rs220 per litre to Rs280

HYDERABAD:

After Karachi, dairy and cattle farm owners in Hyderabad are also preparing to sharply increase the price of milk by Rs50 to Rs60 per litre, blaming rising production and transportation costs for the move.

Speaking to Daily Express, Hyderabad Retail Dairy Sellers Welfare Association General Secretary Nasir Ghori confirmed that, given the current inflation, the per-litre retail price of milk should be set at Rs300. "At present, we purchase milk from farms at Rs200 per litre. Adding Rs10 for middlemen and other expenses, the milk reaches our shops at Rs210, but we are compelled to sell it at Rs220 per litre," he said. Ghori added that once the price is officially increased in Karachi, Hyderabad retailers will submit a written request to the deputy commissioner to revise local rates accordingly.

Cattle owners say that not only have the prices of buffaloes soared, but the cost of fodder has also doubled, making it impossible to continue selling milk at previous rates. Dairy operators, meanwhile, argue that they cannot purchase milk from farms at high prices and sell it cheaply to consumers.

According to details, inflation-weary citizens already struggling with surging prices of vegetables, fruits, and essential commodities are now facing another looming burden. Following Karachi's example, Hyderabad's dairy and cattle farmers have begun consultations to revise prices upward. Sources said formal applications will soon be submitted to the Hyderabad Deputy Commissioner's office, seeking official approval for the price hike once new rates are announced in Karachi.

Cattle owners justify the proposed increase by citing a steep rise in production costs. A buffalo that previously cost Rs200,000 to Rs300,000 is now priced between Rs700,000 and Rs800,000, while fodder costs have nearly doubled. The price of wheat bran has risen from Rs2,800 to Rs4,000 per 40 kilograms, maize bran from Rs2,200 to Rs4,000, hay now costs Rs4,800 per 40 kilograms, and cottonseed cake has gone up from Rs2,800 to between Rs3,800 and Rs4,000. Transport charges have also increased due to continuous hikes in petroleum prices.

Currently, people get milk from shops at Rs220/litre while shopkeepers buy it at Rs200/litre on a wholesale basis. Cattle owners plan to raise the rate by Rs50 to Rs60 per litre, saying that without such an increase, milk production cannot be sustained. In the open market, milk powder and related dairy items are already trading at around Rs10,000 per 40 kilograms.

Hyderabad consumes around 700,000 litres of milk daily, but production has dropped to between 400,000 and 500,000 litres. Cattle farmers attribute the decline to rising costs that have forced many small-scale dairies to shut down.