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Nandini milk products get cheaper: KMF slashes prices after GST reform
The GST reform, approved during the 56th meeting of the GST Council earlier this month, came into force on Monday.
The Karnataka Co-operative Milk Producers Federation (KMF) has revised the price list of Nandini milk products following the latest Goods and Services Tax (GST) reforms.
In a notice issued on September 20, KMF announced changes to the prices of 21 products, including ghee, paneer, cheese, ice creams, chocolates, and other dairy items, news agency PTI reported.
“Revision of ‘Nandini’ milk product selling prices is being implemented due to the reduction in GST on dairy products. The Government of India has reduced the Goods and Services Tax (GST) on essential food products like ghee, paneer, cheese, ice creams, chocolates, etc., effective from September 22, 2025. Accordingly, the Karnataka Milk Federation has revised the selling prices of ‘Nandini’ milk products,” the official statement read.
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Under the new pricing, ghee (1,000 ml) will cost ₹610, down from ₹650. Unsalted butter (500 g) has been reduced by ₹19 to ₹286, while a 1 kg block of processed cheese is now priced at ₹497, compared to the earlier ₹530.
The GST reform, approved during the 56th meeting of the GST Council earlier this month, came into force on Monday. The earlier four-slab tax structure has been replaced with a simplified two-rate system of 5% and 18%, while a separate 40% slab has been retained for luxury and sin goods.
In the FMCG and dairy sectors, leading brands such as Amul and Mother Dairy have also rolled out significant price cuts to pass on the benefit of the GST reduction to consumers. Essentials like milk, butter, ghee, paneer, cheese, ice creams, snacks, and frozen foods have all been shifted to the 5% slab.
As a result, Amul butter (100 g) now costs ₹58, down from ₹62, while Ultra High Temperature (UHT) milk has dropped to ₹75 per litre from ₹77. Mother Dairy, too, has reduced prices on milkshakes, paneer, ghee, and frozen products.
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