India’s leading dairy brands, Amul and Mother Dairy, have clarified that prices of everyday pouch milk remain untouched despite the recent GST overhaul. Contrary to speculation, full cream, toned, and cow milk sold in pouches will not see any price cut as they have always been exempt from GST.
The clarification comes after some media reports suggested that pouch milk prices might fall by ₹3–4 under the new GST 2.0 framework. Dismissing such claims, Jayen Mehta, Managing Director of Gujarat Co-operative Milk Marketing Federation (GCMMF), which markets Amul, said:
“There is no change proposed in the prices of fresh pouch milk as there is no reduction in GST. It has always been zero percent GST on pouch milk.”
What does change is the price of UHT (Ultra-High Temperature) milk, which has become cheaper following the cut in GST from 5% to nil. Mother Dairy has already revised its pricing on UHT milk and select other dairy products.
UHT milk, processed at temperatures above 135°C and packaged aseptically in Tetra Packs, enjoys a long shelf life without refrigeration. This premium segment, unlike everyday pouches, will now benefit directly from the tax relief.
The GST rationalization, announced by Finance Minister Nirmala Sitharaman on September 3, aims to ease living costs and boost economic activity. The 56th GST Council meeting reduced the tax structure to just two slabs—5% and 18%—by merging the 12% and 28% rates, in what has been termed a “Next-Gen GST Reform” and a Diwali gift for consumers.
For households, however, the daily staple of pouch milk will taste the same—both in price and in pour.