Mother Dairy To Lower Prices After GST Rate Cut
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Mother Dairy To Lower Prices After GST Rate Cut

Mother Dairy Invests Rs 750 Cr In New Plants To Boost Milk, F&V Processing

Key products, including Ultra-high temperature (UHT) milk, paneer, ghee, butter, cheese, and milkshakes, will become cheaper in line with the revised Goods and Services Tax (GST) slab

In relief to consumers, Mother Dairy has notified that it will reduce prices across its dairy and food portfolio, following the government’s sweeping Goods and Services Tax (GST) 2.0 reforms. The new rates will take effect from 22 September, the company said.

Key products, including Ultra-high temperature (UHT) milk, paneer, ghee, butter, cheese, and milkshakes, will become cheaper in line with the revised GST slabs that now range between nil and 5 per cent, down from 5–18 per cent earlier. For instance, a one-litre UHT milk (Tetra Pack) will now cost Rs 75 compared with Rs 77 earlier, while 500 gm of butter has been reduced from Rs 305 to Rs 285, as per reports.

Mother Dairy’s frozen desserts and Safal’s processed foods have also seen reductions. Popular ice cream varieties such as Choco Vanilla Cone and Kesar Pista Kulfi are now cheaper by Rs 5–10, while Safal items like frozen French fries, Aloo Tikki, and packaged coconut water will cost less by Rs 5–15.

Everyday pouch milk, including full cream, toned, and cow milk, remains unaffected, as it has always been exempt from GST and carries no change in MRP.

Manish Bandlish, Managing Director, Mother Dairy, said the GST cut across dairy and processed foods marked a progressive step that will significantly boost consumption and accelerate the adoption of safe, high-quality packaged products, the reports added.

Meanwhile, Gujarat Co-operative Milk Marketing Federation (GCMMF), which markets Amul, clarified that pouch milk prices will not change from 22 September. Fresh pouch milk has always been under zero per cent GST and will remain unaffected. Only long-life UHT milk prices will be reduced with effect from 22 September due to the GST rate cut from 5 per cent to nil, the reports noted in case of Amul.

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