Milk, Bread, Vegetables, and More: How Much Cheaper Did 20 Daily Items Used by the Common Man Get After GST Cuts?

The central government has announced significant reforms in Goods and Services Tax (GST), offering a big relief to the common man just before the festive season. From September 22, new GST rates will come into effect, reducing the cost of several everyday essentials and household products. This change is expected to benefit people from all walks of life, as the revised tax slabs cover both daily food items and consumer durables such as televisions, air conditioners, and refrigerators. Products that people buy daily, like milk, bread, eggs, and vegetables, will also see a difference in their pricing.

Under the new reforms, dairy products have received major benefits. While milk and vegetables will continue to remain outside the GST bracket, paneer has seen its tax rate slashed from 12% to 0%. For instance, a 200-gram paneer pack priced at ₹90 will now cost around ₹80, saving buyers nearly ₹10. Similarly, butter and ghee which earlier attracted 12% GST will now fall under the 5% slab. A 500-gram butter pack, earlier costing ₹230, will become cheaper by approximately ₹20. Eggs remain tax-free, continuing to provide relief to households.

Also Read: Eid-E-Milad Holiday Confusion: Schools Caught Between Govt and Education Department Orders

Bakery items and packaged foods have also become more affordable under the revised GST structure. Pizza bases and bread, previously taxed at 5%, now fall under the zero-tax category. This means a bread loaf priced at ₹20 will reduce by at least ₹1. Sweets, chocolates, and biscuits have received a considerable reduction, moving from 18% GST to just 5%. A ₹50 chocolate, for example, will now be available for around ₹44. Fruit juices and coconut water, both popular consumer beverages, will now attract only 5% tax compared to the earlier 12%.

The new GST rates also cover personal care and household products, offering further savings. Items such as hair oil, shampoo, toothpaste, shaving cream, talcum powder, and aftershave lotions have moved from the 18% bracket to 5%. This change means a ₹100 bottle of hair oil will now cost around ₹87. Toilet soaps, toothbrushes, and dental floss have also been made cheaper under the same 5% slab. This wide range of tax cuts will ease the financial burden on households who rely heavily on such essentials for everyday use.

If a family spends about ₹1,000 daily on groceries and household items, the savings from GST revisions will be significant. Earlier, on goods worth ₹880, an additional 12% GST of ₹120 was levied, raising the total bill to ₹1,000. Now, with the reduced rate of 5%, the tax on ₹880 worth of goods will come down to just ₹44, making the total expense ₹924. This directly translates to a savings of around ₹76 per day. Over a month, this can amount to thousands, offering great relief to consumers across India.