Two of China's leading dairy providers – Bright Dairy & Food Co Ltd and Sanlu Group, have received approval from the National Development and Reform Commission (NDRC) for their separate proposals of increasing the prices of their milk products.

China Business News reported on Thursday that the price hikes in accordance with the NDRC regulations on price intervention is mainly due to rising costs of raw materials.

Gong Yanqi, in charge of public relations of Bright Dairy, said the markup is yet to be officially announced by the company. An insider from Guangzhou branch revealed that the average price hike will hit 14 percent to affect mainly the east China region. But officials with Sanlu Group declined to comment on the price rise.

Wang Dingmian, vice chairman of Guangdong dairy industry association, commented that state intervention in dairy price needs more deliberation.

"The profit of milk is only a few percent on average throughout the country. A twenty-cent increase for the price of a 2.5-liter bottled of raw milk will scarcely influence people's daily life. Relevant departments should focus on high profit dairy products", the vice chairman said.