Customers too are worthy of to be dealt with similarly, as hotels, food mill who purchase attamaida wholesale, a miller stated.|Image Credit: NAGARA GOPAL
Flour millers have actually asked for the federal government to think about absolutely no GST on customer packs of attamaida, sooji (upto 25 kg), that presently imposed at 5 percent while packs above 25 kg do not bring in any tax. The demand followed the GST Council’s current choice to lower the tax rate on roti, paratha to absolutely no from September 22.
Millers argued that in India the optimum taken in rotis are prepared in the house. In the areas and cities individuals purchase atta (wheat flour) generally in 10 kg or 5 kg pack. In case of maida and sooji they purchase in 1 kg or 500 gram pack.
Customers too are worthy of to be dealt with similarly, as hotels, food mill who purchase attamaida wholesale and do not pay any GST on the wheat flour and now even their processed item is likewise devoid of tax, a miller stated.
“Paratha, parotta and other Indian breads by any name called” would draw in ‘nil’ GST from 18 percent now while “khakhra, chapathi or roti” too would have no GST from September 22 as versus 5 percent now, the federal government had actually stated while accepting the GST Council suggestions.
In a memorandum to Finance Minister Nirmala Sitharaman sent out on September 4, the Roller Flour Millers’ Federation of India stated that while it extends appreciation for the federal government’s proactive steps in rationalizing GST rates on necessary food products, at the very same time it asked for to extend the existing GST exemption on ended up wheat-based items to the home pack sizes (as much as 25 kg).
Such a choice would assist line up policy coherence by making the whole supply chain from raw active ingredients to complete items truly tax-free for the typical customer, thus supplying considerable relief to countless households throughout the nation, stated Navneet Chitlangia, President of the federation.
“This variation, where just the completed items (roti, parotta, and so on) made commercially are exempt from GST while the vital components (attamaida, sooji, and so on) in family pack size (approximately 25 kg) of ended up items when made in your home draw in 5 percent GST, develops an inequitable circumstance and accidentally punishes families that choose or count on home-cooked meals for financial, health, or cultural factors.
“Since home-made rotis and associated products form the everyday staple diet plan of a big bulk of Indian households, this tax effects their food spending plan straight, specifically in rural and semi-urban locations where bulk family purchases prevail for nourishment,” he stated.
The Kerala High Court in April had actually ruled that Malabar Parotta would draw in 5 percent and not 18 percent GST after Kochi-based Modern Food Enterprises appealed versus the Order of Appellate Authority for Advance Ruling (AAAR). The single judge bench of Justice Dinesh Kumar Singh had actually stated that if crucial inputs (cereals, flour, starch, and so on) and preparations are rather comparable for items, then exemption of one item from the tax viewpoint can not be warranted.
Pointing out the judgement a market authorities stated when preparation procedure is very same to make roti, it is unfair to charge differential GST rate on very same basic material, that too when bulk packs are cost more affordable rates than customer packs. 1 kg maida in customer packs offered by business at 60-80/ kg through e-commerce platforms in NCR of Delhi, which the flour millers offer in bulk at about 1,650/ bag of 50 kg (or 33/kg).
Released on September 6, 2025
