Procurement prices of milk hiked for second time in a month

The Tamil Nadu government on Tuesday hiked milk procurement prices for the second time in a month, but said the burden would not be passed onto consumers.

Updated: Feb 15, 2011, 22:26 PM IST

Chennai: The Tamil Nadu government on Tuesday
hiked milk procurement prices for the second time in a month,
but said the burden would not be passed onto consumers.

The decision to hike procurement price of cow`s milk by Rs
1.36 and 80 paise for buffalo`s milk was arrived at the end of
a meeting between the government and different milk producers`
associations, an official press release here said.

A litre of cow`s milk supplied by state-run Aavin will now
cost Rs 18 and buffalo`s milk to Rs 26 from Rs 25.20 but the
burden will not be passed on to the consumer, the release
said, adding it will come into effect from Wednesday.

The government was represented by Ministers Arcot N
Veeraswamy, K Ponmudi and U mathivanan and the talks were held
after Chief Minister M Karunanidhi called the agitating milk
producers for talks on Monday.

The milk producers had gone on a week-long stir pressing
for hike in procurment prices, with political parties
including AIADMK and Congress backing their demand and urging
the government to hold talks and amicably settle the issue.

The government had hiked the procurement prices only last
month but the producers had went on stir demanding for more
hiking citing the increasing input costs.

PTI