Rising Whey Prices Squeeze Protein Brands Despite GST Cuts
rotein supplement companies are facing margin pressure as whey prices surge despite GST cuts from 18% to 5%.
Whey protein concentrate prices have jumped from ₹700–800/kg (2024) to ₹2,000–₹2,300/kg, more than doubling.
The spike is driven by global supply constraints, import disruptions from Europe, and rising demand.
India depends heavily on imports, as domestic whey production is limited and linked to cheese manufacturing.
West Asia conflict and shipping disruptions have further tightened supplies.
Demand has expanded beyond supplements into FMCG products like protein bars, ice cream, and packaged foods.
Most companies have raised prices (15–20%) or absorbed part of the cost, impacting profitability.
Higher input costs are also reducing marketing spends and promotional activity.
Some brands are exploring alternative proteins (plant-based, fermented), though adoption remains limited.