Punjab Newsline | Chandigarh
The Punjab Government, along with Milkfed Punjab (Verka), under the leadership of Chief Minister Bhagwant Singh Mann, has announced a significant increase in milk procurement prices for farmers. The revised rates will come into effect from May 1, 2026.
According to the announcement, the milk procurement price will be increased by ₹20 per kg of fat. The decision has been taken to provide better financial returns to dairy farmers, strengthen the rural economy, and further reinforce the cooperative dairy sector in the state.
Officials from Milkfed stated that the move has been made on the directions of the Chief Minister with the aim of safeguarding the interests of farmers and dairy producers, who form the backbone of Punjab’s rural economy. Around 2.5 lakh dairy farmers associated with Milkfed are expected to directly benefit from the revised payments.
Authorities further noted that the decision will also have a wider impact on nearly 30 lakh milk producers across Punjab. As Milkfed is a leading cooperative in North India and holds a major share in packaged milk and dairy products, other private companies and institutions are also expected to revise their procurement prices in line with the new rates.
Officials added that this price hike is likely to improve the economic viability of dairy farming and is expected to inject nearly ₹100 crore per month into Punjab’s rural economy, giving a major boost to the cooperative dairy ecosystem in the state.