Anbumani hits out at Stalin govt over Aavin’s failure to cut prices after GST reduction

PMK leader Dr. Anbumani Ramadoss has slammed the Tamil Nadu government for shortchanging consumers, especially the poor, by keeping Aavin dairy product prices high. Even after the central government slashed Goods and Services Tax (GST) on milk-based items, the state-run Aavin hasn’t budged on its rates.

In a sharp post on X, formerly Twitter, Ramadoss highlighted how dairies across India are passing on the GST savings to buyers. But Aavin, Tamil Nadu’s key dairy federation, sticks to its old pricing, which he calls “condemnable and exploitative.” He points out that sachet milk has always dodged GST, while items like paneer, ghee, butter, flavored milk, and ice cream faced a 12% tax until now. The new rate? Just 5%.

Thanks to this GST reduction on milk products, big names like Gujarat’s Amul and Karnataka’s Nandini jumped in with price cuts. Amul trimmed costs on more than 700 products, Nandini on over 15 items, and several private dairies followed suit with drops of Rs 25 to Rs 40. “Everyone’s sharing the benefits,” Ramadoss said, “but Aavin? They’re holding prices steady, which really means a sneaky base price hike for shoppers.”

This move hits hard on low-income and middle-class families who rely on affordable Aavin dairy essentials, he argued. Since the DMK government took over, Aavin has already raised prices four times. Take ghee, for instance: A one-kilogram pack cost Rs 515 back in March 2022, but now it’s up to Rs 700—a whopping 36% jump. Ramadoss noted that even private competitors haven’t hiked rates this steeply so fast.

He recalled how Aavin quickly bumped up prices when GST launched years ago. “So why the delay now with this tax cut?” Ramadoss asked. He urged the Tamil Nadu government to stop “exploiting consumers for profit” and immediately pass on the GST relief to everyday buyers of Aavin milk products and more.


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