HUL reduces prices of some of its detergents and soaps post GST

FMCG major, HUL has extended the tax benefits the company has got under the GST regime to consumers by reducing the prices of some of its detergents and soaps.

The company has slashed the price of its detergent soap Rin bar of 250 gm to Rs 15 from Rs 18 and increased weight (grammage) of its Surf Excel bar costing Rs 10 to 105 gm from 95 gm at the same price.

Besides, it is also offering 33 per cent extra in Dove bathing bar.

A company spokesperson told PTI, "HUL has already communicated that it shall pass on the net benefits from tax rates as per fair principles."

The spokesperson added, "We have already announced changes with effect from today for the despatches made from July 1 onwards."

The company said that any further changes will be communicated in due course on other products.

Under the GST regime, tax credit system is reducing the absolute margins available to modern trade retailer and they are asking to retain at VAT level.

The GST council has put daily usage goods as bathing soap, hair oil, detergent powder, soap, tissue papers and napkins under 18 per cent tax slab.