The higher prices went into effect on Wednesday, Milk Vita authorities said.
The government-run company had raised prices by a similar margin in March last year. This means that Milk Vita, which was created to provide nourishment to the common people, will have increased its prices by around 30% in the space of two years.
The decision was met with anger by consumers.
“I used to work in a private school before,” said housewife Umme Habiba, who came to Mohammadia store in Sonar Bangla market at Rupnagar in Mirpur to shop. “My husband and I lost our jobs because of the pandemic. But we stayed in Dhaka in consideration of our child’s future. A year later, my husband recently found a job, but I’m still unemployed. We are facing a host of difficulties due to a number of debts.
“Over the past year, the price of everything on the market has gone up. Things you could get for 1,000 Tk a year ago now cost 1,300 Tk. So many families, including middle-class ones like ours, are facing pressure. »
This increase in the cost of food and other staples could lead to malnutrition in Bangladesh, she said.
She fears that the government’s decision to raise prices for Milk Vita products for two consecutive years will encourage other producers to follow suit.
“At the beginning of last year, half a liter of milk from Milk Vita cost 35 Tk. During the year the price was increased from 5 Tk to 40 Tk.”
“And now I come to the store and see that the price has gone up again from Tk5 to Tk45. Now I’m wondering if I should buy milk.”
“People will not be able to survive if the prices of basic necessities continue to rise like this.”
“Will the government and the economy survive such a situation?” she said with some anger.
In the market, the price of a liter of Milk Vita milk had increased from Tk 5 to 80 Tk, the price of half a liter had increased from Tk 5 to 45 Tk, the price of 200 g of Matha had increased from Tk 25 to Tk 30, 250 g of Labang had gone from Tk 31 to Tk 35 and 500 g of Labang had gone from Tk 7 to Tk 65.
The price of 1 kg of sweet curd has risen from Tk 190 to Tk 210, while that of 1 kg of sour curd has risen from Tk 170 to Tk 175.
The price of 200 g of ghee has increased by 50 Tk to 300 Tk, the price of 400 g has increased by 70 Tk to 600 Tk and the price of 900 g has increased by 120 Tk to 1,320 Tk.
Milk Vita’s ice cream prices also rose by at least 9%.
“The price has been increased because the cost of producing and marketing dairy products has increased significantly,” said Md Moinul Haque Chowdhury, chief marketing officer of Milk Vita.
The price of livestock feed, packaging and transport has particularly increased, he said.
“The cost of cattle feed has increased by 30 to 40 percent,” Moinul said. “We used to buy plastic bags for one liter for Tk 2.20. Now we buy them from Tk 4.”
Rising oil prices have also increased transport costs by up to 25% for farmers, he said.
Due to the combination of these factors, the prices of Milk Vita products have been increased, the general manager said.