Mother Dairy products price cut: Mother Dairy on Tuesday said it will pass on 100 per cent of GST reduction benefits to consumers, making most of its dairy and processed food products cheaper with effect from September 22, 2025.
The company, a wholly-owned subsidiary of the National Dairy Development Board (NDDB), announced price cuts across key products. A 200-gram pack of paneer will now cost Rs 92 instead of Rs 95, a 1-litre carton of ghee will drop from Rs 675 to Rs 645, and 100 grams of butter will reduce from Rs 62 to Rs 58. Prices of several other items, including Cassatta Ice Cream, pickles, tomato puree, and Safal Frozen French Fries, will also be lowered.
“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,” said Manish Bandlish, Managing Director, Mother Dairy.
Dairy, farmers, and consumers to benefit from GST reform
Mother Dairy said that its entire product portfolio now falls under either the exempted/nil GST category 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,” Bandlish added.
As part of wider tax reforms, the GST Council has introduced two slabs—5 per cent and 18 per cent—down from four earlier. This change has reduced GST rates on over 350 items, effective from September 22, 2025.