Indian Milk Incentive Offset by Price Hike

Even 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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