Milk major Aavin has increased the prices of ghee after winding up the discount offered for the festive season. A kilo of ghee in a plastic container will now cost ₹700.
Industry sources said that the Karnataka Milk Federation, Nandini, had recently hiked ghee prices. But, Aavin’s price was still ₹20 less than the one fixed by the federation in Karnataka. Butter prices have risen by around 15%-20% in the last two months, which is a major reason for the hike in prices of Aavin ghee. “Due to rain, milk production has been affected that has also led to an increase in butter prices,” said a source in Aavin.
In September, the Tamil Nadu Cooperative Milk Producers Federation, whose popular brand is Aavin, had rolled back prices of ghee citing the festive season. It had made no mention of the GST reduction and consumer activists had raised doubts as to whether the saving from the tax cut had been passed on to consumers.
Tamil Nadu Milk Dealers and Employees Welfare Association’s S.A. Ponnusamy said that usually the festive season for Aavin ends by Pongal. “This time they seemed to have ignored that Christmas and Pongal too are festivals during which people buy ghee. Aavin has already not passed on the benefits of the GST roll back to customers. This is very unfair,” he said.
Consumer activist T. Sadagopan said that already the quality of Aavin ghee was not as good as it used to be earlier. “One cannot get the aroma of ghee if we open the bottle or even light lamps at home. It is the Ayyappa season during which time people from all over, many of them poor, will buy ghee to offer to the deity. Aavin should reconsider this hike,” he opined.
Published – December 02, 2025 12:15 am IST
