Leave it to Cabinet to Decide on It.
Bengaluru: Chief Minister Siddaramaiah on Monday declined an appeal from the Milk Federations to hike in milk prices. However, he told the members of Milk Federations to discuss the matter in the cabinet meeting on Thursday before announcing the milkAA price hike.
Members of Milk Federations met Chief Minister Siddaramaiah at his official residence in Bengaluru and discussed with him the reasons to hike milk prices.
The delegation brought to the notice of Chief Minister Milk Federations of Ballari has been under loss of about Rs 1.43 crore. Besides, 3 more Milk Federations have been reeling under financial losses at the end of February.
In reply to the Milk Federations' appeal, Chief Minister Siddaramaiah asked Milk Federations to bring down administrative expenditure under 2.5 percent to minimize the effect of financial losses in Milk Federations.
Siddaramaiah said Milk Federations have made appointments on contract basis more than stipulated resulting in burden on the Federations.
He suggested to Milk Federations to cut down on administrative expenses under 2.5 percent in the next three months and after it further reduce administrative expenses under 2 percent in coming days.
The Chief Minister said milk prices in Karnataka are lower when compared with neighbouring States and made it clear to the Milk Federations that farmers/ milk producers should derive benefits of hike in milk prices.
