National Times Bureau :- In a major relief for consumers, Mother Dairy on Tuesday announced a sharp reduction in prices across its dairy and food product range following a sweeping Goods and Services Tax (GST) restructuring. The move places most of its portfolio under either the zero-tax category or the lowest 5% slab.
Staple items such as paneer, butter, cheese, ghee, milkshakes, and ice creams will now cost less. For instance, a 500-gram pack of butter will drop to ₹285 from ₹305, while the price of a butterscotch cone ice cream has been reduced from ₹35 to ₹30. Similarly, a one-litre UHT toned milk tetra pack will now be available at ₹75, down from ₹77.
However, the price of everyday pouch milk remains unchanged, as it has always been exempt from GST. “Everyday poly pack milk (Full Cream, Toned, Cow Milk, etc.) has always been exempted from GST and continues to be so, with no implications on its MRP,” the company clarified.
“As a consumer-centric organisation, we are passing on 100% of the tax benefit to our patrons,” said Manish Bandlish, Managing Director of Mother Dairy.
Industry observers are now watching closely to see if other FMCG giants will follow suit by reducing their product prices in line with the revised GST structure.
