Mumbai: As India kicks off Navratri with a bang, the central government’s ambitious GST 2.0 overhaul has delivered a timely Diwali-like bonanza for households, slashing taxes on everyday essentials and making grocery bills lighter.
Effective Monday, the revamped tax structure — hailed by Prime Minister Narendra Modi as a “savings festival”— zaps rates to zero or 5% on items like milk, paneer, butter, and school supplies, benefiting the poor and middle class alike. With 99% of daily goods now cheaper, festive shopping just got a whole lot sweeter.
Announced after the 56th GST Council meeting on September 3, the two-slab regime (5% and 18%, plus 40% for luxuries) simplifies compliance while passing savings straight to consumers. Dairy giants Amul and Mother Dairy are leading the charge, trimming prices across hundreds of products to fully reflect the cuts.
Dairy Delights On Discount
Ultra-high temperature (UHT) milk, once at 5% GST, is now tax-free, dropping a 1-litre pack from ₹77 to ₹75. Paneer steals the spotlight with its GST slashed from 12% to zero, making a kilogram roughly ₹50 cheaper — expect 200g packs at ₹80 instead of ₹90, or Mother Dairy’s at ₹92 from ₹95. Butter follows suit at 5% GST (down from 12%), with 500g packs now ₹285 versus ₹305. Ghee, too, sees a dip to 5%, trimming Amul’s 1-litre bottle to ₹610 from ₹650, or Mother Dairy’s by ₹30. Curd and cheese join the savings parade, easing kitchen budgets amid rising input costs.
Bites, Bath & Books Get Budget-Friendly
Packaged foods aren’t left behind: Bread and pizza base shift to zero GST from 5%, so a standard loaf costs ₹19 instead of ₹20. Pasta, noodles, cornflakes, biscuits, and namkeen drop to 5% from 12-18%, promising crispier snacks without the pinch. Chocolates and sweets sweeten the deal — a ₹50 bar now at ₹44, while laddoos per kg shed ₹52 in tax (from ₹72 to ₹20).
Personal care perks up with oils, shampoos, and soaps at 5% GST (from 18%), turning a ₹100 shampoo into a ₹105 buy from ₹118. For back-to-school buzz, notebooks, pencils, globes, and lab books are GST-exempt, freeing up funds for eager learners.
Modi emphasised the reforms’ role in curbing inflation and spurring consumption, especially ahead of festivals. FMCG heavyweights like HUL and P&G vow to mirror these cuts, while auto firms slash bike and TV prices by up to ₹2.5 lakh. As wallets breathe easier, GST 2.0 isn’t just a tax tweak — it’s a ticket to thriftier tomorrows.