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GST On Milk And Related Products

In India, GST rates are fixed by the GST Council. There are five GST slabs: NIL (0%), 5%, 12%, 18%, and 28%, and these are mapped to specific HSN codes for harmonisation of levy of GST across the nation.

Note: HSN is the abbreviation for Harmonized System of Nomenclature code. It is used for the classification of goods under the GST Act 2017. This classification assists the departments of Central Excise, Customs, and Foreign Trade. With HSN codes, goods can be globally recognised and accepted.

The GST rates for milk and products related to it like curd, buttermilk, etc., along with egg, honey, and other edible products of animal origin, comes under chapter 4 of the GST Act 2017.

In this article, we are going to discuss and state the rates for all these products.

TABLE COMPRISING OF GST RATES, HSN CODES AND EFFECTIVE DATE

HSN Code DESCRIPTION RATE EFFECTIVE DATE IMPORT / EXPORT HSN CODE
0401 UHT (Ultra High Temperature) Milk 5% 28/06/2017 04011000, 04012000, 04014000, 04015000
0401 Fresh and Pasteurised milk, including milk, separated milk and cream, not concentrated nor containing sugar or any added sweetening matter, other than UHT milk NIL 28/06/2017 04011000, 04012000, 04014000, 04015000
0402 Milk and cream, concentrated  or containing any sweetening matter or added sugar, including milk food for babies, skimmed milk powder (excluding condensed milk) 5% 28/06/2017 04021010, 04021020, 04021090,

04022990, 04029190, 04029910, 04029990

04022100, 04022910, 04022920,

0403 Yoghurt, Kefir, Cream, and other acidified or fermented milk and cream, whether or not containing any sweetening matter or added sugar or concentrated or flavoured or containing added nuts, cocoa or fruits 5% 28/06/2017 04031000, 04039010, 04039090
0403 Buttermilk; Lassi; Curd NIL 28/06/2017 04031000, 04039010, 04039090
0404 Whey, whether or not concentrated, or containing any sweetening matter or added sugar; products containing natural milk constituents, whether or not containing any sweetening matter or added sugar, not elsewhere included or specified 5% 28/06/2017 04041010, 04041020, 04041090, 04049000
0405 Butter and other fats (i.e. butter oil, ghee, etc.) and derived oil from milk; dairy spreads 12% 28/06/2017 04051000, 04052000, 04059010, 04059020, 04059090
0406 Paneer or Chena put up in container and bears a registered brand name 5% 28/06/2017 04061000, 04062000, 04063000, 04064000, 04069000
0406 Cheese 12% 28/06/2017 04061000, 04062000, 04063000, 04064000, 04069000
0407 Birds’ eggs, fresh, in shells, preserved or cooked NIL 28/06/2017 04071100, 04071910, 04071990, 04072100, 04072900, 04079000
0408 Birds’ eggs, fresh, not in shell, and egg yolks, dried, cooked by boiling water or steam, frozen, moulded or preserved otherwise, whether or not containing added sugar or any sweetening matter 5% 28/06/2017 04081100, 04081900, 04089100, 04089900
0409 Natural Honey, put up in a container and bears a registered brand name 5% 28/06/2017 4090000
0409 Natural Honey, other than those bearing a brand name and put up in a container NIL 28/06/2017 4090000
0410 Edible products of animal origin which are not included or specified elsewhere 5% 28/06/2017 04100010, 04100020, 04100090
04029920 Condensed Milk 12% 14/11/2017
04029110 Condensed Milk 12% 14/11/2017

After going through the table, we can comfortably conclude that no milk or related products attract 18% or 28% GST.

DISCLAIMER

The information given above is subject to change by various notifications and meetings of the GST council. If you find any dissimilarities, they may be present due to the latest updates. Make sure to check the latest updated version of the article for the same. The HSN codes are sourced from the master codes published on the NICs GST portal. 

FAQs

Q. What is the GST rate for buttermilk?

Ans. The GST rate applicable on buttermilk is NIL. This means no GST is levied on it.

Q. Is there GST on packaged milk?

Ans. No GST is levied on packaged milk that does not have any added sugar or sweetening matter (except UHT milk). Whereas 5% GST is levied on milk with added sugar, flavours, or any sweetening matter.

Q. Who decides the GST rates on milk and related products?

Ans. GST rates are decided by the GST Council, which comprises 33 members headed by the Union Finance Minister. This council includes Finance Ministers of various states.

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