According to the government, seven rupees of the total hike will go directly to dairy farmers reeling under drought and rising input costs, while one rupee will be allocated to the Milk Federation. The decision has sparked intense political debate, with the opposition BJP slamming the Congress-led government for burdening poor and middle-class citizens and mismanaging the state's finances.
Meanwhile, the Bengaluru Hotels Association has raised concerns over the steep revision, cautioning that it will inevitably drive up the prices of tea, coffee, and daily food items for consumers across Karnataka.