Consumers buying rice, pulses, or flour in small packets must pay 5% GST. Only 26 kg, 40 kg, and 50 kg sacks are tax-free under current rules.

Alathur: There will be no GST relief on rice sold in 5, 10, and 25 kilogram bags. Currently, packaged grains, pulses, and flours carry a 5% GST. Since this has not been reduced, prices remain unchanged.
Rice, rice flour, wheat flour, and pulses in packets above 25 kg are exempt from GST relief. To take advantage of this, producers sell goods in 26 kg, 40 kg, and 50 kg sacks. Purchases of grains, grain flours, and pulses from shops, when not in packets, are also GST-exempt.
Previously, branded companies handled the packaging and marketing of rice, flour, and pulses. Now, small-scale enterprises run by Kudumbashree and farmers’ groups are bringing such products to market, primarily through grocery stores in rural areas. These products are valued for their quality, low price, and local origin. With a strict ban on plastic, vendors prefer packaged groceries, which also helps avoid the hassle of weighing and wrapping for sale.
Published: 24 Sept 2025, 02:13 pm IST
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