Karnataka Milk Federation (KMF) has once again hit consumers with a sharp price hike, this time increasing the price of Nandini Ghee by ₹90 per litre. The decision has come as a major jolt to households and traders alike, especially since KMF had only recently announced a price reduction after the GST rate cut.

A few weeks ago, following the Union government’s decision to slash GST on dairy products from 12% to 5%, KMF had reduced ghee prices by ₹40 per litre, calling it a “consumer-friendly move.” However, the federation has now reversed the trend, citing rising demand and higher procurement costs as the reasons for the sudden increase.

According to the revised pricing, a one-litre pack of Nandini Ghee will now cost ₹700, up from the previous ₹610. Smaller packs too have seen proportionate hikes — 50ml is now priced at ₹47, 100ml at ₹75, 200ml between ₹155 and ₹165, and 500ml between ₹350 and ₹360. The new rates have come into effect starting on Tuesday, KMF officials confirmed.

Officials from KMF have justified the decision, stating that fluctuations in the global dairy fat market and a surge in local demand during the festive season have pushed up production and procurement costs. “We are compelled to revise the prices due to the sharp increase in raw material costs and global ghee rates. Even after the hike, Nandini Ghee remains competitively priced compared to other brands,” said a senior KMF official.

The move, however, has drawn criticism from consumer groups, who argue that the timing of the hike—just ahead of the Deepavali season—is insensitive. “Many middle-class families depend on Nandini products. Increasing the price during festival season is nothing but exploitation,” said a member of the Karnataka Consumer Rights Forum. KMF’s latest decision also contrasts sharply with the central government’s recent efforts to make dairy products more affordable by reducing GST. The federation had been instructed to pass on the benefits of the tax reduction to consumers, which it did briefly.

With the new hike, Karnataka’s signature Nandini Ghee once known for being both high-quality and affordable—has now joined the list of commodities feeling the heat of inflation, leaving consumers worried that more dairy price hikes could follow soon.