Mumbai households are likely to face a fresh increase in their daily expenses as milk prices are set to rise from September 1.

The Bombay Milk Producers Association has announced a ₹9-per-litre hike in the wholesale price of tabela milk, taking the rate from the existing ₹93 to ₹102 per litre. The revised rate will remain applicable for six months, until February 28, 2027.

For consumers purchasing fresh milk directly from cattle sheds, local dairies or doorstep suppliers, the increase could push the retail price to around ₹110 per litre.

Why are milk prices increasing?

Milk producers have attributed the hike to a sharp rise in the cost of maintaining dairy cattle and procuring animal feed.

Prices of several cattle-feed ingredients, including grains, tur chuni and chana chuni, have reportedly increased by up to 25%. Rising costs of fodder, oil cakes, transportation and livestock maintenance have added further pressure on dairy producers.

Producers say the higher operating expenses have made it difficult to continue supplying milk at the previous wholesale rate.

Impact on consumers

The increase comes just ahead of the festive season, when household demand for milk and other dairy products traditionally rises.

While the wholesale rate will increase by ₹9, the final price paid by consumers will depend on individual retailers and suppliers. However, direct farm-supplied milk could reach approximately ₹110 per litre, compared with around ₹100 currently.

The impact may also extend beyond milk. Higher input costs could push up prices of curd, buttermilk, ghee, paneer, sweets and other dairy-based products, particularly as festive demand increases.

Another milk price increase

The latest hike comes shortly after Maharashtra's major cooperative milk union Gokul increased its buffalo milk retail price by ₹2 per litre earlier in August, taking the price to ₹78 per litre in Mumbai and Pune.

With the latest wholesale revision, Mumbai consumers are likely to see further pressure on their household budgets as the festive season approaches.