Mother Dairy Slashes Prices Across Products After GST Reform — Check New Rate

Mother dairy has reduced consumer prices to pass on tax benefit of GST 2.0 to all applicable products, effective Sept. 22, 2025. With the new norms, the company’s entire portfolio now falls either under the exempted or the lowest slab of 5%.

Mother Dairy, a wholly owned subsidiary of National Dairy Development Board, on Sept. 16 said that a reduction in the consumer prices of select value-added dairy products and processed foods (under Safal brand) has been done to align with the GST reforms announced by the government.

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."

He further added that, "As a consumer-centric organisation, we are passing on 100% of the tax benefit to our patrons, effective Sept. 22, 2025, keeping up with the spirit of this reform.” Under the revised GST rates, the tax on UHT milk (tetra pack) and paneer has been brought down from 5% to 0%, while ghee, butter, cheese, and milkshakes now attract 5% GST instead of 12%.

Ice creams, previously taxed at 18%, will also be taxed at 5%. Similarly, Safal’s value-added horticulture products have seen a uniform reduction in GST from 12% to 5%. This includes frozen snacks, jam, pickles, packaged coconut water, and tomato puree.

In the same light, Mother Dairy has revised prices across several value-added dairy products. The MRP of UHT-toned milk (1 litre) has been reduced from Rs 77 to Rs 75, while double-toned milk (450 ml pouch) now costs Rs 32, down from Rs 33.

Milkshakes (180 ml) are priced at Rs 28, down from Rs 30. Paneer (200 gm) is now Rs 92, and malai paneer (200 gm) is Rs 97. Butter (500 gm) has dropped to Rs 285 from Rs 305. Cheese cubes (180 gm) are now Rs 135, and cheese slices (200 gm) are Rs 160. Other cheese variants and spreads have also seen price reductions.

However the company has also clarified that there is no change in pouch milk (everyday milk such cow, buffalo, full cream etc) as it was always exempted from GST. The price have changed only in UHT milk in tetra format.