Milk prices may go up

By: Staff | March 4, 2010 | | No Comments


vIndianz.com (4 Mar, 2010) — Mumbai: Prices of milk and milk products in the country are likely to increase owing to shortage in milk production over the next three to four years.

milk“The prices of milk and milk products may go up as the country is likely to face three to four million metric tonne deficit in milk production in the next three to four years,” Rabo India Director and Head of Food and Agribusiness research and advisory S. Venkatraman told reporters.

India’s annual milk production is estimated at 108.5 million tonnes and the country accounts for 16 per cent of the world production.

The shortfall may also drive demand for dairy imports, Venkatraman said.

Dairy imports are currently limited because of import duties of as much as 40 per cent and future purchases will depend on government policy, he said.

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