The Karnataka government is likely to hike the retail price of milk by Rs 3 per litre, Milk Federation officials said on Friday.?

The hike is subject to cabinet approval, and will come into effect from August 1, they said.?

"To address the rise in production cost of milk and to help the producers, there is a proposal to increase the price of milk. At the next cabinet meeting a decision will be taken regarding its implementation from August 1," ?Cooperation Minister K N Rajanna said after a meeting chaired by Chief Minister Siddaramaiah.?There is a demand to increase the price of milk by Rs 5 per litre, he said. "However, the cabinet will decide whether to increase by Rs 5 or Rs 3. We expect a Rs 3 hike."?

A delegation of Karnataka Milk Federation (KMF) led by its Chairman Bheema Naik attended the meeting.?The demand by farmers and the federation was to increase Rs 5 per litre, Naik said. "Once the cabinet decides it to hike by Rs 3 per litre, it will be applicable to all varieties of milk by KMF. We will ensure that the Rs 3 per litre hike benefits the farmers."?

Noting that milk price in Karnataka is less compared to other states, Rajanna said Karnataka sells 'Nandini' milk at Rs 39 per litre, while in Andhra Pradesh it is Rs 56, Tamil Nadu Rs 44, Kerala 50, and Maharashtra, Delhi and Gujarat it is Rs 54.