According to a report by Bank of Baroda's Economic Research Department, the GST 2.0 reductions have led to significant price drops in automobiles and home appliances, with car prices decreasing by 7.5% and air conditioners by 5.9%. However, the impact on everyday food items has been limited, with dairy products experiencing price increases of 0.2–1.0% despite GST cuts. The analysis, which tracks changes in the Consumer Price Index from August 2025 to March 2026, reveals that while the intent of the GST reductions was to spur consumption, rising input costs have offset the benefits in many categories. For instance, personal care items saw modest price increases, with hair oil rising by 2.5%. The report also highlights potential future pressures on food prices due to ongoing global conditions and the impact of the monsoon. Overall, the GST cuts have had a differential effect, benefiting some sectors more than others.