The GST rates are coming down on Monday, and several things will become cheaper for the public. This comes after the GST Council slashed the tax rates, keeping just two broad slabs of 5 per cent and 18 per cent. Another slab of 40 per cent was created for ‘sin goods’.
The new rates come into effect on September 22, the first day of Navratri. Many firms have already announced slashing the rates of everyday goods, passing the benefit on to the general public.
Here is an overview of what is getting cheaper with the GST rate cuts from September 22.
GST rate cuts: What is getting cheaper from September 22?
- Appliances: Leading appliance makers have reduced prices of room air conditioners by up to ₹4,500 and on dishwashers by up to ₹8,000, with new rates set to be rolled out from Monday as companies extend GST benefits to consumers.
Leading players, such as Voltas, Daikin, Godrej Appliances, Panasonic, and Haier, have already released a revised price list, which will be applicable from Monday, September 22, when the revised GST rates take effect. The companies, in turn, are expecting a double-digit increase in sales during the festival season, with Navratra starting this week.
Dishwasher makers, too, reduced prices, extending GST benefits to consumers. Makers expect this niche segment to expand as it becomes affordable for its mainly urban consumers. Companies have reduced prices by up to ₹8,000 post-GST cut rollout.
- Dairy products: Dairy brand Amul announced a reduction in retail prices of more than 700 product packs, including ghee, butter, ice cream, bakery products, and frozen snacks, as it decided to pass on the benefits of the GST rate cut to consumers.
In a statement, Gujarat Cooperative Milk Marketing Federation (GCMMF) announced a revision in the price list of more than 700 product packs, effective September 22, 2025, offering its customers the full benefit of the GST reduction.
“This revision is across the range of product categories like butter, ghee, UHT milk, ice cream, cheese, paneer, chocolates, bakery range, frozen dairy and potato snacks, condensed milk, peanut spread, malt-based drink, etc,” GCMMF said.
The MRP of butter (100 gm) has been reduced to ₹58 from ₹62.
Ghee rates have been cut by ₹40 to ₹610 per litre.
The MRP of Amul processed cheese block (1kg) has been cut by ₹30 to ₹545 per kg. The new MRP of frozen paneer (200 gm) will be ₹95 from September 22, as against ₹99 now.
- Packaged water: The Ministry of Railways on Saturday announced a cut in the maximum selling price of its packaged drinking water, Rail Neer.
According to a circular issued by the Railway Board, the price of a 1-litre bottle of Rail Neer has been reduced from ₹15 to ₹14, while the price of a 500 ml bottle has been brought down from ₹10 to ₹9. The revised prices will also apply to other shortlisted packaged drinking water bottles sold at railway premises and trains. Commercial packaged drinking water companies are also expected to follow suit.
Cars: Various car manufacturers have also announced substantial rate cuts. Maruti, Jeep, and others are passing the GST benefits to customers.