Chandigarh, May 21 (IANS): Punjab State Cooperative Milk Producers' Federation Ltd (Milkfed), the state-owned milk procurement cooperative which owns the brand 'Verka', has increased milk procurement rates for farmers by Rs 20 per kg fat on Saturday.

This is the fourth hike by Milkfed this year.

This decision will pinch consumer pocket as the retail price will go up approximately by Re 1 per kg for cow milk and Rs 1.40 per kg for buffalo milk.

An official statement quoting Cooperation Minister Harpal Singh Cheema said considering difficulties being faced by milk producers due to continuous increase in purchase price of raw cattle feed ingredients and other overhead costs, Milkfed Punjab has decided to increase its milk procurement price being paid to farmers by Rs 20 per kg fat.

He said in future more concrete steps would be taken for the benefit of the milk producers and the best quality milk products will be provided to the consumers by Verka.

Milkfed Managing Director, Kamaldeep Singh Sangha, said after agriculture, milk production is the main occupation of rural population.

Milkfed is paying higher milk procurement price to its milk producers as compared to other neighbouring states.

It had previously increased its milk procurement price on March 1 and April 1 and 21 by Rs 20, Rs 20 and Rs 10 per kg fat, respectively.