The GST on products such as Brazil nuts, almonds, pistachios, and other dried fruits has been reduced
from 12 per cent to 5 per cent.
The GST Council, led by Union Finance Minister Nirmala Sitharaman, has approved a complete overhaul of the tangled Goods and Services Tax regime. The cut on GST rates on commonly used personal items and daily essential products in the run-up to the festival season will play a key role in domestic consumption revival, while stimulating economic momentum and building long-term growth in the FMCG sector.
The GST on products such as Brazil nuts, almonds, pistachios, and other dried fruits has been reduced from 12 per cent to 5 per cent, and on ice cream has been reduced from 18 per cent to 5 per cent effective September 22, 2025.
“The GST rate reduction is a transformative step for the packaged food sector. We see this as a catalyst to accelerate category growth and strengthen India’s position as a fast-emerging market for premium nuts, dried fruits, and ice creams. We are committed to harnessing this momentum by expanding availability, innovating with new offerings, and ensuring that more consumers across India can access world-class products at affordable prices,” said Sujit Bangar, Chairman, Krishival Foods.
FMCG companies are looking forward to passing on the benefits of the GST rate cut to consumers by either increasing the grammage or reducing the prices of stock keeping units (SKUs), with industry analysts expecting a price drop of 8-10 per cent, depending on brands, while contributing to 2-3 per cent growth in the FMCG industry.
Companies are expected to either increase grammage of sachets and popular price packs, besides reducing the rates of medium and large packs, making them more attractive, said industry executives.
The companies are also ready to implement the new prices on FMCG items, which are lying at warehouses currently, although they have no clarity on pricing over products that have a longer lifespan and have been with retailers for a longer period.
With PTI inputs
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