From September 22—the first day of Navaratri—many everyday items will now cost less as the GST Council’s new rates come into effect.
Finance Minister Nirmala Sitharaman announced that cutting GST on key essentials to zero will give relief to households and encourage higher consumer spending in the economy.
Kitchen Staples and Breads Now GST-Free
Several daily-use food items that were earlier taxed will now be available without GST. These include:
Ultra-High Temperature (UHT) milk
Prepackaged and labelled chena or paneer
Indian breads such as chapati, roti, paratha, and parotta
Pizza bread
Khakhra
This move will help families save on food bills, especially in cities where packaged dairy and bakery items are widely used.
Lifesaving Medicines Exempted
Healthcare costs will reduce as 33 lifesaving medicines are now completely tax-free. Along with this, three important medicines used in cancer treatment, rare diseases, and other long-term conditions are also part of the exemption.
The step is aimed at easing the financial strain on patients and families facing high medical costs.
Stationery and Education Items Cheaper
Students and schools will benefit as GST has been removed from a variety of stationery and study materials, including:
Erasers
Uncoated paper and paperboard for exercise books
Notebooks, graph books, and laboratory books
Maps, hydrographic charts, and atlases
Globes and topographical plans
Pencils (including mechanical types), sharpeners
Crayons, pastels, chalks (for writing, drawing, or tailoring)
Drawing charcoals
These changes will make education-related expenses more affordable for families.
Companies Passing On Benefits
Brands like Amul and Mother Dairy have already reduced prices across hundreds of products such as butter, paneer, ice cream, and chocolates.
Depending on the item, cuts range between ₹2 and ₹30. However, Amul has clarified that milk prices remain the same.
Why This Is Important
The shift to zero GST on essentials is expected to directly cut household costs, giving consumers more disposable income.
If businesses fully pass on these benefits, families can see a big drop in monthly spending, while the overall economy may get a boost from higher demand.
