The Tamil Nadu chief minister C Joseph Vijay announced an increase in the Aavin milk procurement price, raising the rate by three Rs per litre from Rs41 to Rs44 per litre. The move follows an earlier adjustment in August that had lifted the price from Rs38 to Rs41 and is presented as relief for dairy farmers. The change is intended to address rising cattle feed and maintenance costs and to support rural incomes.

The chief minister noted the additional monthly burden on the state exchequer will be Rs600 mn, amounting to an annual fiscal cost of Rs7.2 bn, which the government has factored into its budgeted support measures. Officials framed the increase as part of a broader effort to stabilise the rural economy and to provide predictable procurement for producer cooperatives. Implementation is to be coordinated through the state dairy marketing body.

In parallel, the state unveiled a multi bn infrastructure programme across power, manufacturing and logistics. The Tamil Nadu Transmission Improvement Scheme has been allocated Rs330.66 bn to install 196 new substations and to lay 15,000 km of power lines, while a 1,600 MW super critical thermal power station is planned at Tuticorin under a public private partnership with an investment of Rs208 bn. Chennai’s distribution network will receive upgrades financed at Rs17.62 bn to boost urban flood resilience and meet load demands.

The plan also includes sectoral investments aimed at strengthening the technology and industrial ecosystem. A Semiconductor and Electronics Manufacturing Park will be developed at Maduramangalam at a cost of Rs1.75 bn and Coimbatore will host a Rs4 bn FinTech hub to accelerate digital financial services, while a multi modal logistics hub is proposed for the Tiruchirapalli region to reinforce supply chains. Authorities said these measures are designed to attract private investment and to create a durable industrial base.