Amul reduces prices of 700+ products after GST rate cut

Amul announces a price reduction on over 700 products, including milk, butter, ghee, and cheese, starting September 22, in line with GST rate rationalisation to pass on benefits to consumers

New Delhi: Days after Mother Dairy lowered its prices, Amul on Saturday announced a price reduction on over 700 of its products to pass on the benefits of GST rate rationalisation to consumers

The announcement, made by the Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets dairy items under the Amul brand, includes a reduction in retail prices of its Ultra-High Temperature (UHT) milk and milk products, such as milk, ghee, butter, ice cream, bakery items, and frozen snacks

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The new prices will be effective from September 22

“This revision is across the range of product categories like butter, ghee, UHT milk, ice cream, cheese, paneer, chocolates, bakery items, frozen dairy, potato snacks, condensed milk, peanut spread, malt-based drink, etc,” the GCMMF said in a statement

Under the revised rates, Amul has reduced the price of a one-litre tetrapack of Amul Taaza Toned UHT Milk by 2.6 per cent and that of Amul Gold Standardised UHT Milk by 3.6 per cent

Other products, such as butter (100 gm), will now cost Rs 58 instead of the earlier Rs 62

Ghee prices have been slashed by Rs 40 to Rs 610 per litre

The MRP of Amul processed cheese block (1kg) has been reduced by Rs 30 to Rs 545 per kg

Similarly, frozen paneer (200 gm) will now cost Rs 95, down from Rs 99

“Amul believes that the reduction in prices will spur consumption of a wide range of dairy products, particularly ice cream, cheese, and butter, as per capita consumption remains very low in India, creating a large growth opportunity,” the statement said

GCMMF, which is owned by 36 lakh farmers, added that the price reduction will boost demand for its dairy products, leading to growth in turnover

Earlier, Mother Dairy had also announced price cuts on its products starting from September 22

With the new norms, the company’s entire portfolio now falls either under the exempted or the lowest slab of 5 per cent

Heritage Foods has also reduced consumer prices on its products following GST rate rationalisation

The MRP of its long shelf-life UHT milk has been reduced by Rs 3 per litre