India Dairy News

Mother Dairy Reduces Prices on Milk, Paneer, Ghee, and Cheese After GST Cut

Consumers to benefit from ₹2–₹30 savings across milk, paneer, ghee, butter, cheese, and milk-based beverages

In a significant consumer-friendly move, Mother Dairy, one of the largest dairy brands in India, has reduced prices across its dairy portfolio following the recent Goods and Services Tax (GST) rate revision by the Government of India. The company announced that the revised prices are effective immediately, offering direct relief to households grappling with rising food costs and inflationary pressures.

From everyday staples like UHT milk and paneer to value-added dairy products such as cheese, ghee, and milkshakes, the reductions range from ₹2 to ₹30 per pack, depending on size and product category.


📉 GST Benefit Passed Directly to Consumers

The price drop comes in response to the Council’s decision to reduce tax rates on a broader range of dairy products. Mother Dairy, known for its strong consumer trust and competitive pricing, has acted swiftly to transfer the benefit to end users.

🗣️ “We wholeheartedly welcome the Union Government’s GST revisions and are pleased to extend these benefits directly to our consumers. The revised rates cover a wide array of dairy products including paneer, cheese, ghee, UHT milk, and milk-based beverages—offering more value to every household,” said Manish Bandlish, Managing Director, Mother Dairy.


📊 Detailed Price Comparison Table

Below is a comprehensive table showing the before and after prices for various Mother Dairy products:

Product Pack Size Old Price (₹) New Price (₹) Price Drop (₹)
UHT Toned Milk 1 Litre 77 75 2
UHT Double Toned Milk 450 ml 33 32 1
Paneer 200 gm 95 92 3
400 gm 180 174 6
Malai Paneer 200 gm 100 97 3
Butter 500 gm 305 285 20
100 gm 62 58 4
Cheese Cubes 180 gm 145 135 10
Cheese Slices 480 gm 405 380 25
Cheese Block 200 gm 150 140 10
Cheese Spread 180 gm 120 110 10
Diced Mozzarella 1 kg 610 575 35
Flavoured Milkshake 180 ml 30 28 2
Ghee – Carton Pack 1 Litre 675 645 30
Ghee – Tin Pack 1 Litre 750 720 30
Ghee – Pouch Pack 1 Litre 675 645 30
Cow Ghee 500 ml Jar 380 365 15
Gir Cow Ghee 500 ml 999 984 15

📌 Strategic Implications for the Indian Dairy Market

This price correction is likely to impact market dynamics across the Indian dairy industry, where private brands, cooperatives, and value-added dairy producers compete for consumer loyalty.

The move may encourage other dairy giants, including Amul, Nandini, and MDairy’s cooperative peers, to adopt similar pricing strategies to stay competitive.

With milk procurement prices fluctuating and food inflation creating consumer stress, the timing of this revision could help further stabilise demand, especially in metro markets like Delhi-NCR, Mumbai, and Bangalore.

Moreover, the price drop may stimulate increased consumption of value-added dairy products, such as cheese, ghee, and milk-based beverages, thereby contributing to overall dairy market growth in India.


🔍 Industry Overview

Mother Dairy recorded a turnover of ₹17,500 crore in the previous financial year and continues to expand its presence in India’s urban and semi-urban dairy markets. The company’s latest pricing move aligns with growing consumer demand for affordable yet high-quality dairy options amid a rapidly evolving retail and FMCG landscape.


Key Takeaways

  • GST-led price cuts now reflected acrMDairy’sry’s product portfolio
  • Offers direct savings of ₹2–₹30 per product
  • Boosts consumer affordability amid inflation
  • Positions Mother Dairy competitive India’s value-added dairy segment
  • Expected to influence pricing strategy across the broader Indian dairy sector

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