Internet Edition. November 4, 2007, Updated: Bangladesh Time 12:00 AM 
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Govt plans creation of Nat'l Dairy Board

Staff Reporter

In order to keep the prices of liquid milk stable in the market, the government is contemplating formation of a National Dairy Board, LGRD and Cooperatives Adviser M Anwarul Iqbal said yesterday.

"Three private companies have compelled us to increase the prices of Milk Vita by raising the prices of their brands of liquid milk suddenly and unexpectedly," he told reporters after attending a discussion organised in observance of the 36th National Cooperatives Day at Samabay Bhaban, Agargaon in the city yesterday morning.

"If we don't raise the price, the farmers will not supply milk to Milk Vita affecting its production. Instead, the farmers will tend to supply milk to those three companies which have already raised the prices of their liquid milk," he regretted. Anwarul Iqbal alleged that the three companies had constantly been increasing the prices of liquid milk. "The government cannot take any measure against these companies as there is no legal body to control the price hike," he said.

"There'll be rules and regulations in the market if a National Diary Board is created. There'll be no unhealthy competition in the market of liquid milk if such a National Dairy Board is existed. Liquid milk producing companies will have to take permission from the proposed National Dairy Board to raise the prices of their products," he said.

The three companies which raised the prices of liquid milk from November 1 are Aarong manufactured by Brac Dairy and Food Project, a sister concern of Bangladesh Rural Advancement Committee (BRAC) headed by Fazle Hasan Abed, Pran by Pran Dairy Limited, a sister concern of Pran Group, headed by Maj Gen (Retd) Amjad Khan Chowdhury and RD Milk manufactured by Rangpur Dairy and Food Products Ltd. These companies have raised the prices of their liquid milk by Tk 4 to Tk 6 per litre from November 1. For example, one litre of Aarong brand milk was selling at Tk 38 till October 31, but it is now selling at Tk 42.

Sudden hike of the prices of liquid milk by the certain private milk producing companies has aggravated the sufferings of consumers.

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