Key Points

Mother Dairy has announced significant price reductions across its dairy and processed food portfolio. The price cuts are a direct result of recent GST reductions and will be effective from September 22, 2025. The company's entire product range now falls under either nil or the lowest 5% GST slab. Managing Director Manish Bandlish confirmed that 100% of the tax benefit is being passed to consumers.

Key Points: Mother Dairy GST Cut Lowers UHT Milk Paneer Butter Prices Sept 22

  • UHT milk price drops from Rs 77 to Rs 75 per litre
  • Paneer reduces from Rs 95 to Rs 92 for 200gm pack
  • Butter sees significant cut from Rs 62 to Rs 58
  • Ice creams like Choco Vanilla Cone down from Rs 30 to Rs 25
3 min read

Mother Dairy says GST cut benefits for consumers effective Sept 22; UHT milk to become cheaper

Mother Dairy cuts prices on UHT milk, paneer, butter, ice cream & Safal products after GST reduction. Full benefits passed to consumers effective September 22, 2025.

"We are passing on 100 per cent of the tax benefit to our patrons - Manish Bandlish, Managing Director, Mother Dairy"

New Delhi, September 16

Mother Dairy has announced a cut in its prices across its dairy and processed foods, stating that it is passing on the benefits of the Goods and Services Tax (GST) cut directly to consumers, effective September 22.

A wholly owned subsidiary of National Dairy Development Board (NDDB), Mother Dairy said that with the new pricing, the company's entire portfolio of products now falls under nil or the lowest 5 per cent slab of the GST.

Effective September 22, the price of Ultra High Temperature milk (UHT) Milk (1 litre) will now be Rs 75 instead of Rs 77.

Milkshakes (180 ml) have come down from Rs 30 to Rs 28. Paneer (200 gm) has reduced from Rs 95 to Rs 92. Butter (100 gm) has dropped from Rs 62 to Rs 58. Cow Ghee Jar (1 litre) has decreased significantly from Rs 750 to Rs 720. Ice Creams saw notable cuts: for example, Choco Vanilla Cone (100 ml) reduced from Rs 30 to Rs 25 and Strawberry Crush Tub (1 litre) from Rs 330 to Rs 300.

For Safal products, GST has been uniformly reduced from 12 per cent to 5 per cent across categories like frozen snacks, jams, pickles, coconut water, and tomato puree. Reflecting this, the Frozen French fries (400 gm) dropped from Rs 100 to Rs 95. Frozen aloo tikki (400 gm) fell from Rs 90 to Rs 85. Frozen nuggets (300 gm) reduced from Rs 110 to Rs 105. Lime pickle (400 gm) went down from Rs 130 to Rs 120. Coconut Water (200 ml) decreased from Rs 55 to Rs 50. Mixed Fruit Jam (500 gm) saw a reduction from Rs 180 to Rs 165.

Sharing the announcement, Manish Bandlish, Managing Director, Mother Dairy, said, "The recent GST reduction across a wide range of dairy and processed food products represents a progressive step that will significantly boost consumption and accelerate the adoption of safe, high-quality packaged offerings. As a consumer-centric organisation, we are passing on 100 per cent of the tax benefit to our patrons, effective September 22, 2025, keeping up with the spirit of this reform."

He further said, "With this change, our entire portfolio now falls either under the exempted/nil or the lowest slab of 5 per cent. We are confident this measure will positively impact the entire value chain: farmers will benefit from increased demand for packaged food products, further supported by GST reductions on farm equipment and allied components, while consumers will gain from affordable pricing and greater access to packaged dairy and processed foods."

It is pertinent to note that Pouch Milk - the everyday poly pack milk (Full Cream Milk, Toned Milk, Cow Milk, etc.) - has always been exempted from GST and continues to be so, with no implications on its MRP.

- ANI

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Reader Comments

R
Rohit P
Good move by Mother Dairy. But why wait until Sept 22? The GST cut was announced earlier. They should implement immediately if they truly care about consumers.
A
Ananya R
The ice cream price reduction is amazing! ₹30 to ₹25 for choco vanilla cone means my kids can enjoy more treats during these hot months. 😊
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Sarah B
As an expat living in Delhi, I appreciate that packaged foods are becoming more affordable. The frozen snacks and coconut water price drops will definitely help my budget!
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Vikram M
Hope other dairy companies follow suit. Mother Dairy setting a good example by passing full benefits to consumers. The paneer and butter price cuts are much needed!
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Michael C
Interesting to see how GST reforms are actually benefiting end consumers. The packaged food industry in India is growing rapidly and such tax benefits will boost consumption.
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Kavya N
The Safal products price reduction is great news! Frozen aloo tikki and french fries are staples in our household. ₹5-10 savings add up over time. 👍

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