To complement the government’s efforts to secure the country’s nutrition security, the dairy sector has sought zero tax on nutritional products butter, ghee (butter oil) and paneer (cottage cheese) from the current 12 percent Goods and Services Tax (GST).
The Indian Dairy Association (IDA) has written to Finance Minister Nirmala Sitharaman seeking zero tax on the nutritionally-rich packaged dairy products. “We have requested the Finance Minister to reduce the GST on butter, ghee, paneer from 12 percent to 0 percent. Currently, packaged paneer attracts 12 percent GST while unpackaged paneer is sold without GST. The government is spending a lot on nutrition security. Ghee and paneer are a rich source of nutrition,” GS Rajorhia, President, IDA, told BusinessLine.