Karachi: Nestle – a multinational tetra packed milk producer has raised prices of its half and one-litre packs by PkR 5 and PkR 10, respectively in line with hike in local fresh milk prices.
According to Alfalah Securities Limited, consumer prices of fresh milk and yogurt were raised by dealers to PkR 75 per litre and PkR 100 per kg respectively from PkR 70 and PkR 90, last month. Nestle Pakistan jacked up price of Milk Pak one litre pack to PkR 90 from PkR 80 and half litre pack to PkR 50 from PkR 45. The price hike has been attributed to rising cost of production on account of surging power rates, transportation cost, increase in price of milk by farmers by 18% in the last 5 months, high milk chilling cost, paper and packaging cost etc. Alfalah Securities Limited believes the hike in the prices of packaged milk would also increase the profitability of the milk sellers including Nestle and Engro Foods as their margins remain intact, if not improve.