Mother Dairy will up the price of its milk variants by as much as INR 2 per litre, effective April 30, 2025. The price hike will hit consumers in Delhi-NCR, Uttar Pradesh, Haryana, and Uttarakhand, the six states where the company has its largest markets. A company statement characterized the price increase as a necessary step to counteract sharply rising procurement costs, which the company says have shot up by INR 4 to INR 5 per litre to the dairy cooperative.
The increase in price is a reflection of three things. First, the dairy supply chain has been challenged and is under stress. Second, the chain has experienced disruptions because of severe weather conditions in some parts of the country. And third, those conditions have caused a reduction in milk production and have pushed up the costs of milk and its ingredients.
New Rates Across Milk Variants
The new pricing structure sees the cost of bulk vended toned milk in the Delhi-NCR area move to INR 56 per litre, up from INR 54. Pouched full cream milk will now cost INR 69 per litre, only a slight bump up from the previous price of INR 68. Toned milk in pouches sees a price increase to INR 57 per litre from the previously lower price of INR 56. Double toned milk sees an even more substantial increase in price, jumping to INR 51 per litre (up from INR 49). Cow milk’s price moves to INR 59 per litre, from the previous price of INR 57.
Balancing Consumer Interests and Farmer Support
Although the price increase is likely to affect household budgets, the company maintains that the adjustment is necessary to sustain its overall viability. They see it as a kind of tough love that, instead of pushing all the way for a price that recoups all our higher costs, aims at finding a balance between keeping milk affordable and making sure cattle owners are compensated well enough to stay in the business.
This pricing strategy indicates a continuous strain in the dairy sector between trying to keep prices down for the consumers and assuring “stable, workable prices for farmers and other suppliers.” Even as dairy companies in India adjust upwards to cope with rising input costs, the sector also faces a demand crunch.
Outlook for Consumers and Industry
The latest price hike is just one in a series of cost increases affecting consumers in recent months. Yet, from an industry perspective, it may be essential to enact such moves if the supply chain is to be stabilized and if quality is to be maintained during some pretty adverse climate for the past few years.
Mother Dairy’s announcement also comes against the backdrop of a broader surge in inflation, with various sectors, from auto to travel, upping prices in the early part of 2025. As we move further into summer, the dairy sector will be watched closely to see if further adjustments are made, depending on weather and procurement dynamics.
India is a developing country where agricultural and dairy industries provide a living for the majority of the population. India produces more milk than any other country in the world. As of 2019, annual production was 187 million tonnes. Milk production accounted for over 4.2 percent of India’s gross domestic product in 2020.
Many organisations are coming up with new strategies to take advantage of India’s current dairy position and improve it even further by utilising new technological resources and providing training to the population in order to make them more skilled and technically advanced.
India is the world’s leading producer of dairy products, but it still fails to meet food safety and security criteria for milk. This is due to the lack of expertise and resources available to those who operate in the dairy industry. As a result, many new businesses are springing up with the goal of developing a business plan that will manufacture dairy products that match industry standards and can be sold profitably.
Let’s take a look at some of the leading dairy startups in India that are transforming the dairy industry in India.
The company was started by Chakradhar Ghade and Nitin Kaushal, in 2015. Country Delight delivers fresh, organic milk to the customers’ doorstep. The milk can be ordered through their mobile application and not just milk but different types of dairy products like curd, ghee, etc and different other staple foods can be ordered through the application.
2. Stellapps
Stellapps Website
Ranjith Mukundan, Praveen Nale, Ramkrishna Adukuri, and Venkatesh Seshayee established Stellapps in 2011. Stellapps is a firm that digitises dairy products from farm to consumer. The startup employs the Internet of Things (IoT), Big Data, and database management, among other technologies, to improve dairy distribution network features such as milk yield, milk purchasing, logistics system, animal insurance, and many other things.
3. Happy Milk
Happy Milk Website
Mehal Kejriwal co-founded Happy Milk in December 2017. The company has its very own farm on the outskirts of Bangalore with roughly 400 cattle. Happy Milk caters to individual clients as well as businesses such as Nature’s Basket and Foodhall. It also accepts large orders. Customers can also make a subscription which is available via apps such as DailyNinja, Doodhwala, and Amazon Prime Now.
4. Klimom
Klimom Website
Klimom is well-known for delivering fresh dairy products directly from the farm to clients’ doors. All of the milk products are created from Gir cow’s milk and are of the highest quality. The farms are located at Sangareddy, Hyderabad. The company claims to have bred Gir cows exclusively, and the fodder is grown on the farm as well. The cows are milked by hand, and the calves are fed completely before the cows are milked.
5. The Milk India Company
The company was founded by Shilpi Sinha in 2018. Milk India company aims to provide clean, fresh and nutritious cow milk to the client’s doorstep. The Milk India Company delivers unprocessed, unpasteurised milk to the customers daily. The company is certified by the National Dairy Research Institute of India. The Milk India Company delivers cow milk in glass bottles to customers’ doorsteps every morning, making it environmentally sustainable.
6. Milk Mantra
Milk Mantra Website
Based in Odisha, the company was founded in 2009 by Srikumar Misra. Milk Mantra began operations in 2012 and has made significant progress in reducing the state’s milk scarcity since then. Apart from milk, the company produces and sells a variety of dairy products such as ghee, curd, and cheese, as well as flavoured milkshakes under the Milky Moo and Mooshake brands.
7. Whyte Farms
Whyte Farms Website
Kanika Yadav and Sanjeev Yadav founded the company in 2015 with the goal of supplying healthy and clean cow’s milk. The Delhi-based startup, Whyte Farms provides pasteurised milk in glass bottles to roughly 3,000 families. The business is based on a 30-acre farm in Tijara, around 90 kilometres from Delhi.
8. Puresh Daily
Puresh Daily Website
Puresh Daily was formed in 2019 by IIM graduate Manish Piyush and his childhood friend Aditya Kumar and is based in Jharkhand. The vision of this company is to provide chemical-free pure milk to the population. The company provides its services through its mobile application, where people can find the subscription plan that suits their needs. Due to milk’s health benefits and being a staple in the Indian diet, the company experienced a 100 percent growth during the COVID-19 lockdown.
9. Matratva Dairy
Matratva Dairy Website
Based in Ajmer, Rajasthan, Matratva Dairy was founded in 2014, the company was founded by Ankita Kumawat, Lokesh Gupta, and Phool Chand Kumawat. The main products of the company are milk and ghee. All the dairy products are prepared by using traditional methods and minimum use of machinery or technology. Matratva Dairy will offer its products through e-commerce platforms like Amazon and BigBasket with rebranding under Goratan Products Pvt. Ltd.
10. Milkbasket
Milkbasket Website
Milkbasket is a grocery delivery service that operates on a daily basis. It was founded by Ashish Goel, Yatish Talavdia, Anant Goel, and Anurag Jain in 2015. The name ‘Milkbasket’ comes from the fact that milk entices buyers to buy other items as well. The company brings milk and other necessities to the customer’s doorstep.
Milk is a vital and necessary component of a healthy diet. It provides the body with all of the critical nutrients it requires. India has the greatest milk production and consumption rates. Many startups have formed to improve the country’s dairy production by introducing innovative technologies and providing training to locals, thereby enhancing the business and creating an environmentally friendly industry without injuring the animals and obtaining the highest potential milk yield.
FAQs
Which is the best dairy company in India?
Parag Milk Foods Ltd, Nandini, Dudhsagar Dairy, and Mother Dairy are some of the leading dairy companies in India.
Is dairy profitable in India?
Yes, the Dairy business is one of the most in-demand and profitable businesses in India.
Which state is the largest producer of milk in India?
Uttar Pradesh is India’s most milk-producing state, accounting for roughly 18% of the country’s total milk production.
