Milk price hike after Cabinet discussion: Siddaramaiah

Bengaluru: CM Siddaramaiah on Monday emphasised that unions existed for farmers' benefit, not to make profits.

Addressing a meeting with chairpersons and managing directors of the Karnataka Cooperative Milk Producers' Federation Ltd (KMF) and district milk unions, he maintained that a decision on the price hike would be taken after a discussion in the Cabinet.

The unions requested a hike of at least Rs 3 per litre of milk and curds. 

 Milk prices in Karnataka were comparatively low, he said, observing that if milk prices increased, the full benefits of such a move must be transferred to farmers.

He did not agree to the unions' request for some of the amount increased, to go towards meeting maintenance costs of the unions. 

Stressing on transparency, the CM said unions should reduce expenses and not hire more contractual staff unless needed. "Administrative costs should not exceed 2 per cent," he said.