Milk is becoming a problem for the Modi government in the fight against inflation, know how

Milk Price Increase: Retail milk prices have increased by 12 percent. Rising milk prices are acting as a villain in the Modi government's fight against inflation.

The Reserve Bank of India and the government together are constantly trying to reduce inflation in the country. Inflation is also seen to be decreasing in the figures released by the government yesterday. But the inflation of everyday things, especially the retail items of food and drink, has created trouble for the general public. Amid measures being taken to increase the retail inflation of things like flour, pulses, rice and vegetables, rising milk prices have created difficulties for the government.

According to a Bloomberg report, in the last one year, there has been a tremendous increase in the price of milk. Retail milk prices have gone up by 12 per cent in a year. Rising milk prices are acting as a villain in the Modi government's fight against inflation. Now the question is why the prices of milk are increasing.

Why are prices increasing

Milk, which is considered to be the food of the middle class in the country, is considered to be the morning food of many households. The companies argue behind the rising prices of milk that the prices of fodder fed to the cattle are continuously increasing, so the companies are left with no other option but to increase the prices of milk.

How milk is becoming a roadblock

The government and the Reserve Bank are making every possible effort to reduce inflation. Talking about the data released on Wednesday, the Reserve Bank of India has kept the headline inflation below 6 percent. But talking about milk index, it remains above 9.31 percent. Now the real reason starts from here that the government is not able to reduce milk inflation even after the inflation has come down. Due to lack of fall in milk index, the government is not able to eliminate inflation completely.

Effect on these things

Be it Amul, Mother Dairy or any other dairy company, all have increased the price of milk. Because of which all the goods made from milk are becoming expensive. Be it sweets, children's toffee or any other item made from homemade milk, the effect of rising milk prices is visible everywhere. According to RS Sodhi, President of the Indian Dairy Association, the rising prices of milk is indeed a cause for concern. Because it is directly affecting the common consumer. Now the government will have to control its prices before the elections, otherwise there may be a big problem. In fact, another major reason behind the rising prices of milk is the demand-supply game. Because a large part of this sector is still unorganized which is the reason for the trouble.