Amul slashes prices of 700 products after GST cut

The Gujarat Cooperative Milk Marketing Federation (GCMMF) on Saturday announced revised retail prices of over 700 products marketed and sold under the Amul brand, in order to “pass on full GST 2.0 benefits” to its customers. According to available information, Amul ice cream and chocolates, butter, cheese and paneer range will see the maximum reduction in cost even as the federation has dedicated a portal for the consumers to cross check the revised prices. GCMMF, in a release on Saturday stated that the new price list will be effective from September 22, bringing down the prices of ice cream and other milk products significantly.

Amul’s 1 litre ice cream tub that used to cost Rs 195 will now retail at Rs 180 while Amul dark and milk chocolates will cost Rs 180 for a 150-gram bar, as against Rs 200 with the GST reducing from 18% to 5% on all these items. Similarly, 500 grams of Amul butter will cost Rs 285 instead of Rs 305 and 5 litre ghee will cost Rs 3,075 instead of Rs 3,275 with GST dropping from 12% to 5%. Amul Paneer range, which will now have no GST, is set to get cheaper by 5%, making 1 kg of Amul Malai Paneer cheaper by Rs 15. Amul cheese block of 1kg will also get cheaper by Rs 30.

Amul has already taken the initiative to communicate the changes in prices to its trade partners, including distributors, Amul parlours and retailers across India, the marketing federation said.

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The GCMMF statement said, “This revision is across the range of product categories such as butter, ghee, UHT milk, ice-cream, cheese, paneer, chocolates, bakery range, frozen dairy and potato snacks, condensed milk, peanut spread, malt based drink etc. Amul thanks the Hon’ble Prime Minister Shri Narendra Modi for making nutrition more accessible and affordable for the nation.”

It further said, “As a cooperative owned by 36 lakh farmers, Amul believes the reduction in prices will spur consumption of a wide range of dairy products particularly ice cream, cheese and butter as the per capita consumption remains very low in India, creating a large growth opportunity. The reduction in GST will help to increase Amul’s share of the consumers’ revenue to the producer in a much larger way, so it benefits both producers and consumers.”