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52nd GST Council Meet: GST Rate on Millet-Based Products Slashed to 5%

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  • Post published:October 7, 2023
  • Post category:GST News

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GST Rate on Millet-Based Products Slashed to 5%

In the ever-evolving landscape of tax policies in India, the recent decision by the GST Council to slash the Goods and Services Tax (GST) rates on millet flour and food preparations from 18% to 5% is a significant development. This move, aimed at promoting millet consumption and supporting the food industry, has garnered attention across the country. In this article, we delve into the details of this decision, its implications, and why it matters to consumers and businesses alike.

The Importance of Millet

Millet Flour: A Nutrient-Rich Alternative

Millet, often referred to as “nutri-cereals,” has gained recognition worldwide for its nutritional benefits. It is a rich source of dietary fiber, vitamins, and minerals. Additionally, millets are gluten-free, making them suitable for individuals with gluten sensitivity. This versatility and health-conscious appeal have contributed to the growing popularity of millet-based products.

GST Council’s Decision

Lowering the Tax Burden

The GST Council’s decision to reduce the GST rates on millet flour and food preparations from 18% to 5% is a commendable step towards promoting healthier food choices. This significant reduction in tax rates is expected to have several positive outcomes:

  1. Affordability: Lowering the GST rates will make millet-based products more affordable for consumers, encouraging them to include these nutritious options in their diet.
  2. Boosting the Food Industry: Food manufacturers and producers of millet-based products will benefit from reduced tax liabilities, potentially leading to increased production and employment opportunities in the sector.
  3. Healthier Choices: With reduced prices, consumers are more likely to make healthier choices, thereby improving public health outcomes.

Implications for Businesses

Expanding Market Opportunities

The revised GST rates open up a plethora of opportunities for businesses operating in the food industry. Entrepreneurs and established players can tap into the growing demand for millet-based products. This shift aligns with the global trend towards healthier and sustainable food choices, potentially making Indian millet products competitive on the international stage.

Conclusion

In conclusion, the GST Council’s decision to lower GST rates on millet flour and food preparations from 18% to 5% is a significant step forward. It not only makes healthier food choices more accessible to consumers but also presents exciting opportunities for businesses in the food industry. Millet, with its numerous health benefits, is poised to become a staple in many households, contributing to a healthier and more sustainable future.

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Sumitha

I'm a professional content creator passionate about writing. My articles span law, business, finance, investments, and government schemes, always simplifying complex topics. Exploring and embracing novelty are my off-duty joys.