Adopt season-based milk pricing system: Panel

Kathmandu, August 19

The task force formed to study the price adjustment of milk has submitted its report to the Ministry of Agriculture and Livestock Development (MoALD) today recommending the government to determine separate prices of milk for lean and flush seasons every year.

Babukaji Panta, the coordinator of the task force, submitted the study report to Minister for Agriculture and Livestock Development Chakrapani Khanal suggesting the government to adopt such dual price system for milk in the dairy industry.

For this year, the study report has suggested to raise milk price by Rs 10 per litre for flush season and by six rupees a litre for lean season. In the dairy sector, April to November is regarded as the lean season, while December to March is regarded as flush season.

Accepting the study report, Minister Khanal said that the government will take necessary decisions based on the findings and suggestions of the report.

The study report has also suggested the government to revise the dairy development policy and mention the two-price system in the policy as soon as possible.

Likewise, the study report has recommended the government to determine milk price across the country for farmers based on the quality of milk they produce.

Along with this, the report has also suggested the government to build necessary infrastructure to boost the production of milk powder in the country itself.

Farmers and dairy cooperatives have been demanding a hike in milk price citing the rise in milk production cost in recent years.

They have been demanding a hike in milk price by up to Rs 10 per litre. Following this, the government had formed a task force to study the issue under the coordination of Panta, who is also the executive director of Nepal Dairy Development Board.