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Mother Dairy cuts tetrapack milk, paneer, butter, ghee prices to pass on GST rate cut benefits
Mother Dairy says its entire portfolio of dairy and packaged food products now attracts GST of 5% or zero.
Mother Dairy has cut prices of tetrapack milk, as well as revised rates across its dairy and processed foods offerings, to pass on the benefits of a GST rate cut to buyers.
Effective 22 September 2025, one-litre ultra high-temperature milk will cost ₹75 as against ₹77 earlier, the wholly owned subsidiary of National Dairy Development Board said on Tuesday (16 September), adding that its entire portfolio of offerings now attracts GST of 5% or zero.
The revised prices are as under:
- Milkshakes: ₹28 vs ₹30 earlier
- Paneer (200 gm): ₹92 vs ₹95 earlier
- Butter (100 gm): ₹58 vs ₹62 earlier
- Cow Ghee (1 litre): ₹720 vs ₹750 earlier
It's worth noting here that pouch milk stays exempt from GST. Additionally, ice-creams are cheaper by up to ₹5/100 ml and ₹30/litre.
For Safal products—frozen snacks, jams, pickles, coconut water and tomato puree—GST has been reduced to 5% from 12% earlier.
- Frozen french fries (400 gm): ₹95 vs ₹100 earlier
- Frozen aloo tikki (400 gm): ₹85 vs ₹90 earlier
- Frozen nuggets (300 gm): ₹110 vs ₹105 earlier
- Coconut water (200 ml): ₹50 vs ₹55 earlier
- Mixed fruit jam (500 gm): ₹165 vs ₹180 earlier
According to Mother Dairy, the GST rate cut will have a positive impact on the entire value chain—from farm to table.
“GST reforms are a progressive step that will significantly boost consumption and accelerate the adoption of safe, high-quality packaged offerings,” Manish Bandlish, managing director at Mother Dairy, said in a statement on Tuesday. “As a consumer-centric organisation, we are passing on 100% of the benefit, effective 22 September…”
On 4 September, the government reduced GST rates on hundreds of items—from soaps to small cars—in India's biggest indirect tax reform since Goods and Services Tax was first introduced on 1 July 2017. The GST structure has been simplified too—from four slabs (5%, 12%, 18% and 28%) to two (5% and 18%)—with most essential items attracting the lower tax rate.
