Aavin hikes prices of 63 dairy products in Tamil Nadu ahead of Diwali
Synopsis
Key Takeaways
Tamil Nadu's cooperative dairy brand Aavin has revised upward the prices of 63 products — including ghee, butter, curd, milkshakes, and festive sweets — with the new rates taking effect on Wednesday, 27 October 2026. The dairy cited rising raw material costs and higher production expenses as the reasons behind the revision, which arrives just days before Diwali, when household demand for dairy and sweets typically peaks.
Key Price Changes
Among the most significant revisions, a 100-gram pack of ghee will cost ₹95, up from ₹85, while a 500-ml pack will now be priced at ₹400 against the earlier ₹365. A 100-gram pack of butter rises by ₹10, moving from ₹60 to ₹70.
Festive sweets have also been brought under the revised structure. A 100-gram pack of rasgulla will cost ₹50 instead of ₹45, and a 500-gram pack of gulab jamun goes up from ₹100 to ₹115. Mysore pak is among the other sweet products affected.
Beverages and Curd Also Costlier
Consumers purchasing dairy beverages will pay more across the board. A 200-ml pack of lassi rises from ₹20 to ₹23, while ten varieties of milkshakes — currently priced at ₹30 each — will now sell at ₹35. Buttermilk prices have been revised across packaging formats: a 200-ml pack moves from ₹8 to ₹10, and the PET bottle variant from ₹12 to ₹14.
On the curd front, a 500-gram pack will increase from ₹35 to ₹40, and a one-kilogram pack from ₹120 to ₹130. A 50-gram premium cup product moves from ₹5 to ₹7 — a 40% increase for that format.
About Aavin and Its Reach
Aavin, the cooperative dairy organisation functioning under Tamil Nadu's Dairy Development Department, markets milk and more than 100 dairy and allied products across the state. Its portfolio includes palkova, health mixes, milk biscuits, chocolates, kulfi, and several varieties of ice cream, making it a daily staple for millions of Tamil Nadu households.
Impact on Consumers
The timing of the revision — immediately before a major festival — amplifies its effect on household budgets. Ghee and butter are staple ingredients in traditional Diwali sweets and savouries, meaning families preparing festive dishes at home will face compounded cost pressure. This comes amid a broader trend of food inflation affecting dairy commodities nationally, with raw milk procurement costs rising for cooperatives across India in recent months.
With the new prices now in effect, consumers are likely to feel the impact most acutely on bulk festive purchases. Whether Aavin adjusts prices again post-festival, as input cost pressures ease, remains to be seen.