Nandini stops selling ghee to Tirupati citing price-related issue; temple trust hits back

Aug 01, 2023

Tirupati (Andhra Pradesh) [India], August 1 : The Karnataka Milk Federation (KMF), which has been selling ghee to Andhra Pradesh’s Tirumala Venkateswara temple under the brand name Nandini, has decided to stop its supply over some price-related issue.
 
The KMF decided to skip the tender process for the supply of ghee as it was not ready to supply ghee at a competitive rate.
“When the tender gets floated, everybody participates in it, and whoever quotes the lowest price wins the tender. We quote almost Rs 400 per kg. When someone quotes Rs 1 or 2 less, the tender will go to that bidder. I don't know at what price they are buying it, but we have quoted more than 400 rupees according to our procurement,” said Jagadish, MD of KMF.
 
He said the KMF is an institution that operates for the benefit of farmers. “Therefore, offering low prices is not feasible as it results in a loss.”
 
“About one year ago Tirumala Tirupati Devasthanams (TTD)  the trust that manages the temple called for a tender and asked us to participate in the tender. We cannot give ghee at the competitive rate, because in the e-procurement tender, whoever quotes the lowest rate will get it,” he added.
“But our rate is fixed. We said we will supply ghee at our rate, but they (TTD) said they won't give that amount. So we are not supplying," he added.
 
In response, Tirumala Tirupati Devasthanam’s (TTD ) Executive Officer Dharma Reddy said that Karnataka Milk Federation (KMF) was making false allegations.
“They are not supplying ghee for manufacturing laddus for the last twenty years. They have supplied only for a few years. They didn't participate in tenders even in the year 2023. We require ghee suppliers at a low cost with our parameters. The bid is open for all, (and) KMF can also take part in a bid they can participate and win the tender and supply ghee to the temple. Instead of that, making false allegations on TTD is inappropriate.  E-tenders will be conducted transparently. We require quality supplier and low price bidder,” Dharma Reddy added.