Seyed Ahmad Moghadassi, the head of the Iranian Cattle Breeders Association, announced that starting from this Wednesday, November 6, the price of raw milk will increase to 68,000 tomans at the farm and 70,000 tomans at the factory, following an agreement between the Cattle Breeders Association and the Dairy Industries Association of Iran.
Reasons for the increase in raw milk prices
Moghadassi pointed out the state of production and the price of raw milk, stating: "Currently, the price of each kilogram of raw milk at the farm is about 60,500 tomans, but due to the negotiations that have taken place, the new price will increase to 68,000 tomans." He also added that prices are under severe pressure due to rising production costs, especially after the increase in exchange rates.
He attributed the main reason for this increase to the rise in production costs, stating: "The price of currency has increased from about 125,000 tomans at the end of December last year to over 185,000 tomans now. These changes have led to a sharp increase in the prices of animal feed such as corn, soybeans, and canola. For example, the price of some feed has risen from 9,000 tomans to 40,000 tomans, which directly impacts the cost price of raw milk."
Planning for the production of 14 million tons of raw milk
Moghadassi also announced the Ministry of Agriculture's plan to produce 14 million tons of raw milk this year, stating: "So far, 13 million and 900 thousand tons of this goal has been achieved, and we hope to reach the final target by the end of the year." He added that considering the population growth, efforts are being made to ensure that raw milk production is sufficient so that people do not face problems in securing food supplies.
The head of the Iranian Cattle Breeders Association also referred to the cessation of direct government support for industry players, especially regarding the supply of bran. He said: "Currently, farmers purchase each kilogram of bran at a price of 37,000 to 39,000 tomans from the free market, and including transportation costs, this price reaches 40,000 tomans for farmers."
Moghadassi emphasized that if the new prices are approved, farmers will not suffer further losses and added: "These prices will be approved by the food security task force to prevent further losses for farmers."
