India’s largest dairy brand, Amul, has increased milk prices by Rs 2 per litre across major variants nationwide, adding pressure on household budgets already dealing with rising food costs. The revised prices came into effect from May 14, 2026, and apply to fresh pouch milk sold across India. The price hike was announced by the Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets products under the Amul brand.
According to the federation, the increase translates to a rise of nearly 2.5% to 3.5% across different milk variants. Amul stated that the revision was necessary due to a significant rise in operational expenses, including cattle feed, transportation, fuel, and packaging material costs over the past year. The company also highlighted that procurement prices paid to dairy farmers had increased by Rs 30 per kilogram of fat, representing a 3.7% rise compared to May 2025.
The latest revision marks Amul’s first major milk price increase since May 2025. Under the new pricing structure, Amul Gold milk (500 ml) will now cost Rs 36 instead of Rs 35, while Amul Taaza and Amul Cow Milk (500 ml packs) will cost Rs 30 each. Buffalo milk prices have also gone up, with 500 ml packs now retailing at Rs 39.
Mother Dairy Also Revises Milk Prices:
Shortly after Amul’s announcement, Mother Dairy also increased milk prices by Rs 2 per litre across several liquid milk variants. The company stated that higher procurement costs from farmers forced the revision despite efforts to minimize the burden on consumers. Officials from Mother Dairy said procurement prices have risen by nearly 6% over the past year due to supply shortages and increasing feed costs.
Industry experts believe the move by the country’s two biggest dairy brands could encourage regional dairy cooperatives and private players to revise prices in the coming weeks. Some state-run dairy federations have already started announcing similar hikes. Madhya Pradesh-based Sanchi Dairy, for example, confirmed a Rs 2 per litre increase effective May 15.
The price increase comes at a time when inflation concerns remain high in India. Analysts believe the hike could have a direct impact on food inflation because milk is a daily household necessity used across homes, restaurants, cafes, sweet shops, and food processing industries. Retail inflation in the food category has remained under pressure in recent months due to global commodity volatility and higher transportation costs.
Dairy Sector Faces Pressure From Rising Input Costs:
Executives from GCMMF clarified that the decision was not linked to geopolitical tensions or temporary fuel shortages but was primarily driven by structural increases in production expenses. The federation said nearly 80 paise from every rupee spent on Amul products goes directly to dairy farmers, making procurement support essential for maintaining milk supply and encouraging rural dairy production.
Amul remains India’s largest dairy cooperative and one of the country’s strongest consumer brands. Founded in Gujarat in 1946, the cooperative currently works with millions of dairy farmers and has played a major role in India’s White Revolution movement. The company has continued expanding across milk, cheese, butter, curd, ice cream, chocolates, and packaged food categories.
Social Media Reacts to Milk Price Increase:
The announcement quickly sparked reactions across social media, with several business platforms and news organisations discussing its impact on consumers and inflation.
“Amul and Mother Dairy hike milk prices by Rs 2 per litre effective May 14 amid rising procurement and operational costs.”~CNBC-TV18
“Amul hikes milk prices across India by Rs 2/litre; revised rates effective immediately.”~Economic Times
“Milk gets costlier as Amul and Mother Dairy announce fresh price hikes across key variants.”~Moneycontrol
With milk prices rising once again, consumers are expected to feel the impact immediately on monthly grocery expenses. Industry observers now expect smaller dairy brands across different states to follow similar pricing decisions in the coming weeks as pressure on procurement and production costs continues to rise.
