OMFED hikes milk prices by ₹4/litre across variants, effective Sunday
Synopsis
OMFED has raised milk prices by ₹4 per litre across all variants — the first revision in a long time — while simultaneously hiking farmer procurement prices. The move tests whether Odisha's apex dairy cooperative can balance consumer affordability with rural income support amid rising input costs.
Key Takeaways
OMFED raised milk prices by ₹4 per litre across all variants, effective Sunday, 4 May 2025 .
Toned milk now costs ₹54/litre ; premium milk ₹58 ; gold premium ₹60 ; gold premium plus ₹64 .
500 ml pouches of toned and premium milk revised to ₹27 and ₹29 respectively.
Cow milk procurement price raised by ₹1/litre to ₹39.05 ; buffalo milk suppliers get an additional ₹1.60/litre .
OMFED processes over 6 lakh litres daily against a capacity of 9.7 lakh litres , and was established in 1980 in Bhubaneswar .
The Odisha State Cooperative Milk Producers' Federation (OMFED) has announced a ₹4 per litre hike in milk prices across all variants, citing rising processing and transportation costs. The revised rates came into effect on Sunday, 4 May 2025, according to state officials, marking the first price revision in a considerable period.
Revised Milk Prices Across Variants
State Fisheries and Animal Resources Development Minister Gokulananda Mallik confirmed that the price of toned milk has been raised from ₹50 to ₹54 per litre, while premium milk will now retail at ₹58 per litre, up from ₹54. The gold premium milk variant has been revised to ₹60 per litre from ₹56, and the gold premium plus variant will cost ₹64 per litre, compared to the earlier ₹60.
The revision also extends to smaller packaging. 500 ml pouches of toned milk and premium milk are now priced at ₹27 and ₹29, respectively.
Why OMFED Raised Prices
Minister Mallik noted that the hike had become unavoidable as input costs — including processing and transportation — had continued to climb even as milk prices remained unchanged for an extended period. He maintained that despite the increase, OMFED's rates remain competitive against other brands in the market, and that quality standards would not be compromised. This comes amid a broader trend of dairy cooperatives across India revisiting pricing structures in response to sustained inflationary pressure on operational costs.
Higher Procurement Prices for Farmers
In a parallel move aimed at strengthening rural livelihoods, OMFED has raised the procurement price of cow milk by ₹1 per litre, taking it to ₹39.05 per litre. Buffalo milk suppliers will receive an additional ₹1.60 per litre. Mallik said the decision would enable better returns for milk producers at the grassroots level, a key mandate of the cooperative structure.
About OMFED
Established in 1980 and headquartered in Bhubaneswar, OMFED is the apex dairy cooperative of Odisha. The federation currently handles over 6 lakh litres of milk daily against an installed capacity of approximately 9.7 lakh litres. Its product portfolio spans milk, curd, ghee, and sweets, with a stated focus on rural development and quality dairy supply across the state.
With the revised pricing now in effect, consumer groups and farmers alike will be watching whether the hike translates into the improved procurement returns that OMFED has promised.
Point of View
Or whether it merely offsets rising feed and labour costs at the village level. Odisha's dairy sector operates well below installed capacity, which suggests structural inefficiencies that a price hike alone cannot fix. The cooperative model's credibility ultimately rests on whether the margin gains reach producers, not just the balance sheet.
NationPress
7 Aug 2026
Frequently Asked Questions
By how much has OMFED increased milk prices?
OMFED has raised milk prices by ₹4 per litre across all variants, effective Sunday, 4 May 2025. Toned milk now costs ₹54/litre, premium milk ₹58/litre, gold premium ₹60/litre, and gold premium plus ₹64/litre.
Why did OMFED hike milk prices?
OMFED cited rising processing and transportation costs as the primary reason for the revision. State Minister Gokulananda Mallik noted that milk prices had not been revised for a long time even as input costs continued to climb.
Will OMFED farmers benefit from the price hike?
Yes, OMFED has also raised the procurement price for cow milk by ₹1 per litre to ₹39.05, and buffalo milk suppliers will receive an additional ₹1.60 per litre. The cooperative says this will ensure better returns for milk producers.
Are OMFED prices still competitive after the hike?
According to Minister Mallik, OMFED's revised prices remain competitive compared to other brands in the market. He also assured consumers that quality standards would not be compromised despite the increase.
What is OMFED and how much milk does it process?
OMFED, the Odisha State Cooperative Milk Producers' Federation, is the apex dairy cooperative of Odisha, established in 1980 and headquartered in Bhubaneswar. It currently processes over 6 lakh litres of milk daily against an installed capacity of approximately 9.7 lakh litres.
