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Indian Milk Incentive Offset by Price Hike
INDIA - The government's much-hyped milk incentive may not really benefit farmers. It has been offset by the Karnataka Milk Federation's (KMF) decision to hike the price of cattle feedEven before the government could implement its promise of giving a concession of Rs 2 per litre to milk producers, the KMF has hiked the price of cattle feed by Re 1 per kg since August 11, reports The Times of India.
"We are facing acute shortage of maize and other raw materials used in production of cattle feed. Year-on-year prices of critical input materials - de-oiled rice bran, maize and cottonseed - have risen by 27% while we have increased cattle feed price by only 12.5%," KMF chairman H D Revanna told the news agency, adding the decision was made to reduce losses.
The KMF has also sought the government's nod for direct procurement of maize from farmers. He said this would help create a buffer stock to ensure uninterrupted production of feed material.
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