Dairy prices in Assam have surged sharply, as traders reacted to the impending Goods and Services Tax (GST) rate cuts by hiking retail prices. For instance, the Sitajakhala Dairy Cooperative raised the milk rate by ₹10 per liter to ₹80 and paneer prices also increased proportionally. This preemptive pricing echoes across local markets, as businesses adjust to expected tax savings from the national GST reforms slated for implementation on September 22.
Industry Insight
This spike underscores the need for stronger regulatory oversight to prevent exploitative pricing ahead of tax relief. Dairy cooperatives and processors, including Assam’s state initiatives like the ₹5 per liter milk subsidy and expanded processing capacity, will be critical in stabilizing retail costs. Ensuring these benefits reach consumers promptly is essential for maintaining trust and cushioning inflationary pressures.
Source : Dairynews7x7 Sep 10th 2025