Mother Dairy, Safal Products Get Cheaper As Company Passes On GST Benefits To Consumers | Economy News

Mother Dairy, a leading name in India’s dairy and agro-industry, is offering franchise opportunities through its Fruit and Vegetable Private Limited division. With dairy products being a daily essential in every household — from morning tea to children’s nutrition — the demand never dips. That’s what makes this business model so reliable and recession-proof. (File Photo)

Mother Dairy has announced that it will pass on the benefits of the recent GST rate cut to consumers by reducing prices of select value-added dairy products and processed food items under its Safal brand.

The price cuts, effective immediately, aim to make essential and packaged food products more affordable during the festive season. The company said this move is in line with its commitment to ensuring that the benefits of tax relief are directly transferred to consumers.

Processed foods under the Safal brand, including frozen vegetables, packaged juices, and ready-to-cook products, will also see a price correction as GST rates are revised downward. With consumers increasingly relying on frozen and packaged staples for convenience, this move is expected to provide noticeable savings on everyday purchases while also giving a boost to demand in the processed foods segment.

In addition to reducing prices of select value-added dairy and Safal products, Mother Dairy’s core milk portfolio is also set to become cheaper following the latest GST reforms. The exemption of the 5% tax on packaged milk is aimed at making this household staple more affordable, bringing direct relief to consumers amid rising inflation.

The government’s decision to remove GST on packaged milk is primarily to ensure that families across the country can access quality milk at lower prices. By cutting tax on an essential commodity, the benefit is expected to be passed on quickly to end customers.

How Much Will Prices Drop?

With GST removed, some packaged milk variants are likely to see a reduction of ₹3–₹4 per litre. For example, Mother Dairy’s full cream milk is expected to fall from ₹69 to around ₹65–66 per litre. Similarly, toned, cow, and buffalo milk packs are also slated to get cheaper.

Expected Price Adjustments (per litre)

• Mother Dairy Full Cream: ₹69 → ₹65–66
• Mother Dairy Toned Milk: ₹57 → ₹55–56
• Mother Dairy Buffalo Milk: ₹74 → ₹71
• Mother Dairy Cow Milk: ₹59 → ₹56–57

When Will the Change Take Effect?

The revised GST rates come into effect from September 22, 2025, after which all packaged milk products, including those from Mother Dairy, will reflect the new GST-free pricing in retail markets.