Milk Price Drop- Big news for common people. The prices of milk of major dairy brands like Amul and Mother Dairy can be reduced from 22 September 2025. This decision has been taken after the 56th meeting of the GST Council held recently, in which it has been decided to remove 5% GST on essential products like milk and cheese.
How low can the price go?
After the removal of GST, milk prices may fall by Rs 2 to Rs 4 per liter. The price of Amul Gold (full cream) milk may fall from Rs 69 to Rs 65, while Mother Dairy toned milk may become cheaper from Rs 57 to Rs 54. This change will save hundreds of rupees annually for families who buy milk daily.
Amul and Mother Dairy have welcomed the government’s decision to change GST and said that they will pass on the full benefit of this to consumers. The companies believe that this will increase the demand for milk and the confidence of consumers will also increase. Along with this, the dairy sector will also get new energy.
This decision will provide relief to the general public in times of inflation. The removal of tax on milk, cheese and other dairy products will have a direct impact on the daily budget. This is being considered a positive step especially for the middle class and low income group. Pouch milk has always been sold with GST exemption and it will continue to be so. In the case of the packaged milk segment, the recently announced change applies only to UHT milk (tetra pack/carton packaging), where the GST rate has been reduced from 5% to 0% from 22 September 2025.