Prices are set to increase in Mumbai and Tamil Nadu ahead of the festive season. Tamil Nadu Chief Minister C Joseph Vijay has announced an increase in the milk procurement price by Rs 6 to Rs 44 per litre, giving major relief to the cattle farmers of the state.
The main objective of this suo motu declaration made under Rule 110 of the Tamil Nadu Legislative Assembly is to provide support to milk producers amid rising fodder and production costs.
The government announced the hike twice in 12 days. At first, the Tamil Nadu government announced a hike of Rs 3 at an initial price of Rs 38, taking the per-litre rate to Rs 41. The second announcement included another Rs 3 hike, taking the price to Rs 44 per litre.
The decision will directly benefit over 3.16 lakh milk producers in the state.
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Wholesale milk price rises sharply in Mumbai
The price increase in Tamil Nadu comes after a Rs 9-per-litre hike was announced in Mumbai a few days ago.
The Bombay Milk Producers Association on August 29 announced a massive increase in wholesale milk prices by Rs 9 per litre. Effective September 1, 2026, wholesale milk prices in Mumbai and its surrounding metropolitan supply network will increase from Rs 93 per litre to Rs 102 per litre.
The association clarified that these revised rates will remain in effect for the next six months, until February 28, 2027. This is one of the biggest single-phase price increases in recent years.
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This rise in wholesale rates will have a direct impact on the city's local bakeries, sweet shops and eateries, leading to a rise in the prices of everyday dairy items like curd, paneer and festive sweets.