As fodder prices continue to rise, there is no respite in sight for rising milk prices. Based on the all-India Wholesale Price Index (WPI), the annual rate of fodder inflation increased to 28.66 percent in December 2022.
According to data issued by the Ministry of Commerce and Industry on Monday, the fodder index value climbed by 28.66% from 183.9 in December 2021 to 236.6 in December 2022.
The feed inflation rate in December 2022 was more than 4.25 percent in December 2021. In November of previous year, it was at 27.66 percent.
The rise in feed costs is important because it raises the cost of making milk, which affects the budgets of people who buy milk. During the year 2022, popular milk brands like as Amul and Mother Dairy increased their prices multiple times. In addition, increased fodder prices harm cattle-rearing-dependent on them.
In contrast to the decline in total WPI inflation, which fell to 4.95 percent in December 2022 from 5.85 percent in November, feed prices increased. It reached 14.27% in December 2021.
The WPI index assigns feed a weight of 0.53140. The index also includes data on the “manufacture of prepared animal feeds,” which has a weight of 0.35630.
According to the most recent data, the annual rate of inflation for the group ‘Manufacture of prepared animal feeds’ decreased to 4.66 percent in December 2022 from 16.39 percent in the same month a year earlier.
There are five subgroups within the ‘Manufacture of prepared animal feeds’ group: gola and related cattle feed, rice bran extract, soya preparations without oil, cotton seed oil cake, and mustard oil cake.
In December 2022, the inflation rates for ‘Gola & Similar Cattle Feed’ were 8.68%, ‘Rice Bran Extract’ was 26.37%, ‘Soya preparations without oil’ was -7.84%, ‘Cotton seed oil cake’ was 0.62%, and ‘Mustard oil cake’ was -.21.99%.
