Chennai: “Private milk prices in Tamil Nadu have been increased by up to Rs. 4 per litre. The reason private companies are able to raise milk prices without restraint is that private companies hold the Tamil Nadu milk market in their hands,” said PMK leader Anbumani Ramadoss.
In a statement issued by him on this, “Private milk prices in Tamil Nadu have been increased by up to Rs. 4 per litre from today. It is condemnable that private companies are raising the price of milk used by the poor and middle class, without conscience, again and again.
Private dairy companies have increased the price of blue-pack milk with 3 percent fat content from Rs. 31 to Rs. 32 per half litre, green-pack milk with 4.5 percent fat content from Rs. 35 to Rs. 37, and orange-pack milk with 6 percent fat content from Rs. 40 to Rs. 42.
This is the third price hike announced by private companies in 2026. In just the 8 months from last February to now, milk prices have been raised three times.
Since the TVK government came to power, private milk prices have been increased twice, in July and September. While Aavin’s blue packet milk with 3 percent fat content is sold at Rs. 40 per litre, private companies are selling it for Rs. 24 more.
Similarly, while green packet milk is sold by Aavin at Rs. 44, private milk is being sold for Rs. 74, which is Rs. 30 more. Aavin’s orange packet milk with 6 percent fat content costs only Rs. 60 per litre. But private companies are selling the same milk for Rs. 84.
The reason private companies are able to raise milk prices without restraint is that private companies hold the Tamil Nadu milk market in their hands. In Tamil Nadu’s milk market, Aavin’s share was only 16% as of 2023. It is now said to have fallen to around 12%.
Therefore, even though Aavin sells milk at a lower price, it cannot make any impact because it cannot supply milk beyond a certain quantity, and private companies hold 84%–88% of the market.
Only by strengthening the Aavin company to the extent that it captures 50% of the market in Tamil Nadu and competes with private players can private milk prices be controlled. Therefore, the Tamil Nadu government should take steps to revitalize Aavin and impose an upper limit on private milk prices to control them,” he said.