This Article is From Nov 06, 2014

Milk Price Hike in Tamil Nadu May Keep Children From Weaker Sections Hungry

People queueing up at a milk store in Chennai

Chennai: The Tamil Nadu government's steep hike in milk price - Rs 10 a litre - is expected to hit hard children from the economically weaker sections. Milk by the government agency Aavin, which was sold at Rs 24 a litre, now costs Rs 34.

At a crowded neighbourhood in Chennai's Adyar area, a lower middle-class neighbourhood, six-month-old Vishanth is going hungry. The family's daily requirement is around two litres of milk, but that had to be cut down by half.

Vishanth's father is a bus conductor and is the sole earning member. Amudha, the child's grandmother, said, "We give milk only to our children. Now it is so difficult".

The government blames the price hike - made effective from November 1 - on an increase in procurement prices by Rs 5 a litre. Sources said the agency was facing an estimated loss of Rs 180 crore this year.

Chief Minister O Panneerselvam, who succeeded Ms J Jayalalithaa after she was indicted in a disproportionate case in September, claimed the hike was essential to keep up quality milk supply and a financially stable milk federation. Still, Aavin milk, he said, was cheaper than private diaries and milk in other states. (Read: Private Suppliers Hike Milk Price in Tamil Nadu)

The milk price hike has provided fodder for the Opposition, which has hit the streets demanding a rollback. Parties like the DMK, MDMK and DMDK allege the hike is to meant to compensate for the losses after an adulteration scam.

Recently, a gang was caught pilfering 1000 litres of milk from a tanker and replacing it with water near Tindivanam, in Villupuram district. The alleged kingpin, a member of the ruling party, is behind the bars.

MDMK chief Vaiko, who led a protest in Chennai on Tuesday, said, "The price hike is not justifiable. Give good price for farmers, but give subsidy for consumers". (Read: MDMK Leader Vaiko Demands Rollback of Milk Price Hike in Tamil Nadu)

The government of Ms Jayalalithaa had given enormous subsidies to people. A plate of idlis in Amma canteen comes at Rs 1, Amma mineral water costs Rs 10 a bottle, vegetables are sold at 25 percent discount. In 2014-15, the state is expected to spend around Rs 5,300 crore on food subsidies including its free rice programme through the public distribution system.

Now, with Mr Panneerselvam in her place, this announcement is seen as the most unfavourable order by the AIADMK government.
.