Thiruvananthapuram: The Cabinet on Wednesday approved the increase of milk sold by the Kerala Co-operative Milk Marketing Federation (Milma) by Rs 6 per litre.
The Federation is known by its brand name Milma.
While the Cabinet said that Milma can decide when to implement the price hike, Milma chairman K S Mani said that it will be implemented from December 1.
A two-member committee appointed to study the price hike had recommended to the government to increase the price of milk by 8.57 per litre.
But fearing that implementing a huge increase at one go could cause public anger, the Cabinet fixed the price hike by Rs 6 per litre.
Currently, a 500 ml pack of homogenized toned milk is sold at Rs 23 at Milma outlets.
Minister J Chinchurani told Manorama News that 88 paise would be given to the farmer for every rupee increase.
Though milk prices are increased on the ground that the dairy farmers are operating at a loss, it is alleged that the benefits declared by the government are not reaching the farmers.
The dairy farmers demand that since the price of cattle feed and other inputs had almost doubled, government benefits should be provided to them directly.
Across Kerala, even individual milk suppliers set the price based on the price revision by the Milma.
