The latest revision by India’s two largest dairy brands includes hikes of Rs 2 across Ammulmilk variants amid rising procurement and input costs
India’s leading dairy brands, Amul and Mother Dairy, have revised milk prices across multiple variants, with the new rates coming into effect from 14 May amid rising procurement and operational costs.
The latest increase, the second by both dairy majors in nearly 13 months, affects commonly consumed categories such as full cream milk, toned milk, cow milk, buffalo milk and premium variants across several markets. Industry observers expect the move to prompt similar revisions by regional dairy companies in the coming weeks.
In a statement, the Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets products under the Amul brand, said it has “increased the prices of fresh pouch milk by Rs 2 per litre in major milk-selling variants/packs across India effective from 14 May”.
Separately, Mother Dairy announced a Rs 2 per litre increase across its liquid milk portfolio, with revised prices applicable from Thursday. According to a company circular issued to distributors and transport partners on 13 May, the updated prices will apply to supplies dispatched from the night of 13 May and reflect in retail markets from the morning of May 14.
The latest revision comes after Amul last raised prices on 1 May 2025, while Mother Dairy had implemented a hike in April 2025.
Inflation Pressure
The increase by the country’s two largest organised milk retailers is expected to add pressure on food inflation, which has already been inching higher in recent weeks due to geopolitical tensions in West Asia. Food inflation crossed the 4 per cent mark in April, and the latest revision is likely to further strain household budgets.
GCMMF said the increase translates to nearly 2.5-3.5 per cent per litre, which it said remains below average food inflation levels.
“The price hike is being done due to an increase in the overall cost of operation and production of milk. There is a substantial increase in the cost of cattle feed, milk packaging film and fuel during the year,” GCMMF said.
The cooperative added that its member unions had also increased farmers’ procurement prices by Rs 30 per kg of fat, reflecting a 3.7 per cent increase over May 2025.
Explaining the revision, Mother Dairy said, “The revision has been necessitated in view of the sustained increase in farmer procurement prices, of around 6 per cent over the past one year, despite continued efforts to limit the impact on consumers”.
It further stated that the latest increase represents only a partial pass-through of higher costs and aims at “maintaining a fair balance between farmer welfare and consumer interests”.
Both Amul and Mother Dairy said they pass on nearly 75-80 per cent of their sales realisation directly to milk producers.
Revised Prices
Under Amul’s revised pricing structure, the 1-litre pack of Amul Gold will now retail at Rs 70, up from Rs 68 earlier, while the 1-litre Amul Taaza pack has been increased to Rs 57 from Rs 55.
The dairy cooperative has also revised rates for Buffalo Milk, Cow Milk, Slim and Trim and Tea Special variants. The 500 ml pack of Amul Buffalo Milk will now cost Rs 39 compared with Rs 38 earlier, while the 500 ml Cow Milk pack has been raised to Rs 30 from Rs 29.
In Delhi-NCR and Uttar Pradesh, the 500 ml pack of Slim N Trim milk will now cost Rs 27, Taaza Rs 30, Cow Milk Rs 31 and Gold Rs 36. Buffalo milk prices have seen a sharper increase of Rs 4 per litre, taking the rate to Rs 80 per litre.
Mother Dairy has similarly revised prices across several stock-keeping units (SKUs). As per the updated structure, the 1-litre Buffalo Milk pack has been increased to Rs 80 from Rs 75. The 500 ml Buffalo Milk pack has also been revised upward, according to the company circular.
The company has also increased prices of its Full Cream Milk (FCM) range. The 1-litre pack will now cost Rs 72 against the earlier Rs 69, while the 500 ml pack has been increased from Rs 70.
Mother Dairy’s toned milk sold through bulk vending machines will now cost Rs 58 per litre, up from Rs 56. Pouch toned milk prices have been raised to Rs 60 per litre from Rs 58, while double-toned milk will retail at Rs 54 per litre. Cow milk prices have also been increased to Rs 62 per litre from Rs 60.
Rising Input Costs
Organised dairy companies have repeatedly attributed milk price hikes to higher cattle feed costs, transportation expenses, packaging material prices and increased procurement rates paid to farmers.
India’s dairy sector has witnessed multiple rounds of milk price revisions since 2022, with both cooperative and private players implementing phased increases across states depending on procurement conditions and input costs. Companies such as Nandini have also revised prices at different intervals across regions.
India remains the world’s largest milk producer, with packaged milk accounting for a significant share of urban household consumption. Retail milk prices are typically influenced by procurement rates, seasonal supply trends and distribution-related costs.
GCMMF, regarded as the world’s largest farmer-owned dairy cooperative, works with around 3.6 million farmers and collects more than 30 million litres of milk daily. The federation markets Amul products across more than 50 countries.
The federation reported an 11 per cent rise in turnover to Rs 73,450 crore in the previous financial year from Rs 65,911 crore a year earlier. The overall turnover of the Amul brand also crossed the Rs 1 lakh crore milestone in FY26 on the back of strong demand for dairy products.
Mother Dairy, a wholly-owned subsidiary of the National Dairy Development Board, recorded a 17 per cent growth in turnover to Rs 20,300 crore in the last fiscal year, supported by higher demand for milk products and edible oils.
Apart from dairy products sold under the Mother Dairy brand, the company markets edible oils under the Dhara label and fruits, vegetables and processed food products under the Safal brand.
(With inputs from agency)
