FDA bans loose milk sales in Maharashtra forcing Thane retailers to shut down

The Maharashtra Food and Drug Administration (FDA) has banned the loose sale of milk with immediate effect, forcing local milk retailers in Thane and across the state to halt operations. Under an order dated July 3, 2026, issued by FDA Commissioner Tukaram Mundhe, all milk must now be sold exclusively in sealed, tamper-evident, and labeled packaging to eliminate contamination risks.

The sudden enforcement has led to a widespread shutdown of local "doodhwalas" and loose milk retailers. According to Babu Chodankar, secretary of the Thane Sahar Doodh Vyavasi Cooperative Society (TSDVCS), which has over 20,000 members, traders were informed by FDA officials that loose milk sales would no longer be permitted. Consequently, retailers selling loose milk through shops or home deliveries stopped their operations on Friday.

The FDA order cites findings from the National Milk Safety and Quality Survey conducted by the Food Safety and Standards Authority of India (FSSAI). The survey revealed a widespread lack of compliance in the dairy supply chain, highlighting grave public health concerns over milk contamination from antibiotic residues and Aflatoxin M1, which originates from contaminated animal feed.

Under the new mandate, all forms of heat-treated, pasteurised, and standardised milk must be packaged. Retailers who violate the ban face a penalty of Rs 3 lakh.

The ban is expected to significantly impact the local economy and milk supply. Ram Patil, a milk trader and consultant to TSDVCS, noted that loose wholesalers and retailers supply at least 35 per cent of the Mumbai Metropolitan Region's daily demand of nearly 60 lakh litres.

Local vendors have expressed deep concern over the financial feasibility of complying with the new rules. A retailer from Andheri pointed out that setting up a milk packaging plant costs upwards of Rs 12 crore, a sum that small-scale businesses cannot afford. Rajmani Pal, a milk retailer from Chembur, reported that he has already closed his shop, leaving his staff jobless.

The suspension of loose milk sales is also projected to affect bulk consumers. Chodankar explained that while households may transition to buying packaged milk, sweet shops and ice-cream parlours heavily relied on loose milk, which was easier to process and cost Rs 2 to Rs 4 less per litre than packaged alternatives.