Nestlé India Implements GST Rate Cut, Offering Consumers Immediate Price Relief

Nestlé India Ltd has announced that, starting September 22, 2025, it will pass on the benefits of the recent Goods and Services Tax (GST) rate reduction directly to consumers. This move aligns with the government's initiative to simplify the tax structure and reduce prices on essential goods.

Nestlé Price Reductions on Popular Products

As part of the GST 2.0 implementation, Nestlé India has adjusted the prices of several of its popular products:

• Maggi Noodles (600 gm pack): Reduced by ₹4 to ₹116.

• Nescafé Classic (45 gm): Price lowered by ₹30 to ₹235.

• Nescafé Gold (100 gm): Significant cut of ₹95 to ₹755.

These reductions are among the steepest in the beverages category and reflect Nestlé's commitment to passing on the benefits of the GST rate cuts to consumers.

Nestlé India's Commitment to Consumers

Manish Tiwary, Chairman and Managing Director of Nestlé India, stated, "The GST rate reduction is a positive step for consumers in India, as it will stimulate consumption and contribute to the overall growth of the economy. Nestlé has been an integral part of India for over 113 years, and consumers are at the heart of our business. We remain committed to the single purpose of serving consumers in all possible ways."

Broader Impact of GST 2.0

The GST 2.0 reforms, effective from September 22, 2025, have simplified the tax structure by consolidating multiple slabs into two primary rates: 5% and 18%, with a 40% rate for luxury and sin goods. This overhaul aims to reduce the tax burden on essential items, making them more affordable for consumers. 

In line with these reforms, other FMCG companies, such as Hindustan Unilever, have also announced price reductions on products like soaps, shampoos, health drinks, and spreads, effective from the same date.

About Nestlé India Ltd

Nestlé India Ltd is the Indian subsidiary of the Swiss multinational Nestlé S.A., one of the world's largest food and beverage companies. Incorporated in 1959, the company began its operations in India with its first factory in Moga, Punjab, in 1961. It is a leading player in India's fast-moving consumer goods (FMCG) market, with a diverse portfolio of products ranging from beverages and prepared foods to nutrition and confectionery.

Nestlé India Key Products and Brands

Nestlé India is a household name due to its wide range of popular products. Its brand portfolio includes some of the most recognized names in the Indian market, such as:

• Maggi: The iconic instant noodles brand, which also includes a range of sauces, cooking aids, and soups. Maggi is a significant revenue driver for the company.

• Nescafé: A leading instant coffee brand in India.

• Dairy Products and Nutrition: This segment includes a variety of products like Milkmaid (sweetened condensed milk), Everyday dairy whitener, as well as a range of infant formulas and baby foods under brands like Cerelac and Lactogen.

• Chocolates and Confectionery: Popular brands in this category include Kit Kat, Munch, Milkybar, and Bar-One.

• Beverages: Beyond Nescafé, the company offers other popular beverages like Nestea and Milo.

Nestlé India Corporate Social Responsibility (CSR) and Initiatives

Nestlé India's CSR efforts are guided by the principle of "Creating Shared Value," which focuses on enhancing the quality of life for communities while also ensuring long-term business success. The company's CSR activities primarily concentrate on three key areas:

• Nutrition and Health: Nestlé India runs programs like the "Nestlé Healthy Kids Programme," which aims to educate children in schools about the importance of good nutrition, hygiene, and physical activity.

• Water and Sanitation: Recognizing India's water scarcity issues, Nestlé supports projects that promote water conservation in agriculture and provides access to clean drinking water and sanitation facilities, particularly in rural schools.

• Rural Development: The company works to support the sustainable development of farmers by providing them with technical knowledge and support, helping to improve their livelihoods and agricultural practices.

Conclusion

Nestlé India's decision to pass on the benefits of the recent GST rate reduction directly to consumers reflects its ongoing commitment to affordability and consumer satisfaction.

By adjusting prices on popular products like Maggi noodles and Nescafé, the company not only aligns with the government's economic reforms but also enhances its brand image as a consumer-centric organization.

As other FMCG companies follow suit, these collective efforts are poised to stimulate consumption, support economic growth, and provide tangible benefits to consumers during the festive season.