Big News for Consumers!
Get ready to save on your grocery bills! Starting September 22, 2025, Mother Dairy has announced a significant price cut across its range of value-added dairy and Safal horticulture products. This comes after the implementation of GST 2.0, under which the GST rates have been reduced from as high as 18% to as low as 0%.
Mother Dairy has committed to passing on the “100% tax benefit” to customers.
“With this change, our entire portfolio now falls under the exempted or the lowest 5% slab,” said Manish Bandlish, Managing Director of Mother Dairy.
What’s Changing? — Old vs New GST Rates
Mother Dairy has revised the GST rates on several popular items. Here’s the updated chart:
New GST Rates on Mother Dairy & Safal Products
Highlights:
| Product | Old GST | New GST |
|---|---|---|
| UHT Milk (Tetra Pack) | 5% | 0% |
| Paneer | 5% | 0% |
| Ghee, Butter, Cheese | 12% | 5% |
| Ice Creams | 18% | 5% |
| Frozen Snacks, Jam | 12% | 5% |
| Pickles, Tomato Puree | 12% | 5% |
New Prices After GST Cuts – Ice Creams & More!
Along with GST reductions, product prices are dropping too. Here’s a look:
Price Drop Highlights:
| Product | Old Price (₹) | New Price (₹) |
|---|---|---|
| Ice Candy (45g) | 10 | 9 |
| Chocobar (30ml) | 10 | 9 |
| Butterscotch Cone (100ml) | 35 | 30 |
| Cassatta (150ml) | 70 | 60 |
| Shahi Meva Malai Tub | 330 | 300 |
| Butterscotch Combo | 270 | 250 |
What This Means for You
- Cheaper Dairy & Packaged Foods: Lower prices on paneer, butter, milkshakes, cheese, ghee, and ice cream.
- Reduced GST: All Mother Dairy & Safal value-added products now fall under 0% or 5% GST slabs.
- Boost to Consumption: Company expects higher adoption of packaged and safer food options.
Example: 200g cheese slices now cost ₹160, down from ₹170.
100g butter now costs ₹58, down from ₹62.
Cassatta now at ₹60, down from ₹70.
What’s Not Changing?
- Everyday poly pack milk (Full cream, toned, cow milk) remains GST-exempt, so prices stay the same.
Impact Across Value Chain
According to Mother Dairy, this move will:
- Help farmers by increasing demand for processed food.
- Encourage consumers to opt for high-quality packaged items.
- Align with GST reforms that also support farm equipment and supply chains.
Summary Table of Key Price Drops
| Product | Old MRP (₹) | New MRP (₹) |
|---|---|---|
| UHT Milk (1L) | 77 | 75 |
| Paneer (400g) | 180 | 174 |
| Ghee (1L pouch) | ~490 | ~460 |
| Ice Creams & Tubs | Up to 330 | Now 250–300 |
With the latest GST cuts and Mother Dairy’s move to pass on 100% of the benefit, Indian households can expect real savings on everyday essentials like milk, paneer, ghee, cheese, and ice creams. These price reductions are not just consumer-friendly, but also a step toward making high-quality, packaged food products more accessible. Whether you’re shopping for daily groceries or stocking up your freezer, starting September 22, your wallet will thank you.
Also Read : “A Victory For Every Citizen”: FM Nirmala Sitharaman Hails New Two-Tier GST Structure
