GST reforms: Karnataka Milk Federation cuts prices of Nandini milk products

Sep 23, 2025

Bengaluru (Karnataka) [India], September 23 : The Karnataka Co-operative Milk Producers Federation has revised the price list for Nandini milk products following the implementation of GST reforms.
The notice regarding the same was issued on September 20, in which the prices of a total of 21 Nandini milk products were revised. These included Ghee, Paneer, Cheese, Ice creams, Chocolates and others.
"Revision of 'Nandini' milk products selling prices due to reduction in GST on dairy products. The Government of India has reduced the Goods and Services Tax (GST) on essential food products like Ghee, Paneer, Cheese, Ice creams, Chocolates etc., and the reduction is effective from 22.09.2025. Accordingly, Karnataka Milk Federation (KMF) has revised the selling prices of 'Nandini' milk products. The details of the revised prices are provided below," the notice from Karnataka Milk Federation said.
After the revision, ghee (1000 ml), which was previously priced at Rs 650, will now cost Rs 610. Unsalted Butter weighing 500 grams will now cost Rs 286, Rs 19 less. A 1 kg processed cheese block will be priced at Rs 497, down from Rs 530.
The reform in the Goods and Services Tax structure, which was approved during the 56th meeting of the GST Council earlier this month, comes into effect from Monday.
The earlier four-rate system is replaced with a streamlined two-slab regime of 5% and 18%. A separate 40 per cent slab has been retained for luxury and sin goods.
In the fast-moving consumer goods (FMCG) and dairy sectors, major brands such as Amul and Mother Dairy have also announced substantial price cuts, reflecting the full benefit of the GST reduction.
Items like milk, butter, ghee, paneer, cheese, ice cream, snacks, and frozen foods have been brought under the 5 per cent slab, due to which 100 g of Amul butter will now cost Rs 58 instead of Rs 62, and Ultra High Temperature milk (UHT) has dropped to Rs 75 per litre from Rs 77.
Mother Dairy has also slashed prices on milkshakes, paneer, ghee, and frozen products.