Kathmandu, September 5

The state-owned Dairy Development Corporation (DDC) has raised the price of milk effective from Saturday.

Sital Kaji Shrestha, board member at DDC, informed that the DDC board has decided to raise milk price (standard milk) by six rupees per litre. This means that a pack of half litre standard DDC milk will cost Rs 38 in the market from Saturday.

Similarly, DDC has also increased the price of whole milk (with high fat), cow milk and tea milk.

While the price of whole milk and cow milk has been increased by Rs 10 a litre each to Rs 100 per litre and Rs 90 per litre, respectively, the price of tea milk has also been raised by Rs 10 a litre to Rs 70 per litre.

“The Ministry of Agriculture and Livestock Development had authorised DDC to raise milk price by six rupees per litre today. However, as we had already completed packaging of milk for Friday, the new price will be effective in the market from Saturday,” informed Shrestha.

As DDC has raised the milk price, the private sector dairies have also informed that milk price will be raised by six rupees a litre effective from Saturday.

Meanwhile, DDC has mentioned that 69 per cent of the increased price of milk will directly go to farmers, while 31 per cent of the price will go to dairy firms.

Farmers had been seeking a raise in milk price since long citing that the production cost of milk has soared in recent months.

Earlier, a taskforce of the government to study necessity of milk price hike, had recommended the government to determine separate prices of milk for lean and flush seasons every year. The study committee had 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 lean season, while December to March is regarded as flush season.