Mother Dairy Raises Milk Prices by ₹2-4 Per Litre as Procurement Costs Climb

Mother Dairy has raised liquid milk prices by ₹2-4 per litre across its variants, effective Thursday, November 12, as rising procurement costs paid to farmers forced the company to pass part of the burden to consumers. Full cream milk takes the steepest increase, climbing ₹4 to ₹76 per litre from ₹72, sources said.

The revision, reported from New Delhi on November 11, reaches every major pouched variant on the shelf:

• Full cream milk: ₹76 per litre, up from ₹72 (a ₹4 increase)
• Toned milk: ₹62 per litre, up from ₹60
• Double toned milk: ₹56 per litre, up from ₹54
• Cow milk: ₹65 per litre, up from ₹62 (a ₹3 increase)
• Bulk-vended toned milk in Delhi-NCR: ₹60 per litre, up from ₹58

Why did Mother Dairy raise prices now?

Sources said procurement prices paid to farmers have increased, which pushed the company to revise consumer rates. The cost structure explains the mechanics: Mother Dairy passes around 75-80% of its milk sales realisation back to farmers, so procurement costs weigh heavily on retail pricing decisions.

Scale makes the move visible. Mother Dairy, the largest milk supplier in Delhi-NCR, sells about 35 lakh litres of milk every day in the region through its own outlets, general trade and e-commerce platforms. Its overall daily milk sales exceed 50 lakh litres.

How often is the company revising prices?

The increase arrives just six months after the previous one. Mother Dairy last raised prices on May 14, 2026, and before that in April 2025. The tighter revision cycle signals sustained upward pressure on input costs rather than a one-off adjustment.

What does the hike mean for households and inflation?

The increase lands on consumers already stretched by accelerating food prices. Food inflation rose to 7.74% in September from 5.97% in the previous month, while headline retail inflation climbed to 5.54% from 4.83% in August. A second milk price revision within six months adds direct pressure to household budgets and could feed into food inflation, since milk is a daily staple across income groups.

The company enters this round from a position of growth. Mother Dairy reported a 17% increase in turnover to ₹20,300 crore in the last fiscal year, supported by improved demand for milk products and cooking oils.

Commissioned in 1974, Mother Dairy is a wholly owned subsidiary of the National Dairy Development Board (NDDB). Beyond milk and dairy products, the company sells edible oils under the Dhara brand and fruits, vegetables and other food products under Safal. With procurement costs still the dominant variable in its pricing formula, further revisions will depend on what farmers are paid in the months ahead.