Millets for food processors: a sourcing guide to bajra, jowar and ragi
Harvest seasons, growing regions, quality checks and packing for the three millets food brands buy most.
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Tax & compliance
GST on food grains, pulses and flour: a simple guide for B2B buyers
Loose or packed, branded or unbranded: how GST applies to cereals, pulses and flour, and what to check on your supplier's invoice.
Buyers often ask whether GST on food grains applies to their bulk purchase. The short answer: it depends on how the goods are packed and labelled. This guide gives a practical overview for procurement teams. Tax rules change, so confirm the current position with your tax advisor before you finalise contracts.
How GST on food grains depends on packing
Since July 2022, cereals, pulses and flour that are pre-packaged and labelled (as defined under the Legal Metrology rules, which apply to packages up to 25 kg) attract GST at 5%. The same goods sold loose or unbranded are generally exempt. Larger industrial packs meant for institutional or industrial buyers may be treated differently, so check the notification that applies to your pack size.
Typical HSN codes buyers see
| Product | HSN |
|---|---|
| Wheat | 1001 |
| Barley | 1003 |
| Oats | 1004 / 1104 (rolled) |
| Maize | 1005 |
| Rice | 1006 |
| Pulses (dried) | 0713 |
| Wheat flour (atta) | 1101 |
CGST + SGST or IGST?
When the supplier and the place of supply are in the same state, the tax is split equally into CGST and SGST. For inter-state supplies, IGST is charged at the full rate. Our checkout works this out automatically from your billing state and GSTIN.
What to check on the invoice
- Supplier and buyer GSTIN, and the place of supply with its state code
- HSN code and GST rate for each line
- Taxable value, tax amount and total in words
- E-way bill number for consignments above ₹50,000
A correct tax invoice is what lets you claim input tax credit. Every order placed on our website comes with a GST invoice showing an HSN-wise tax summary, whether you buy wheat, pulses or atta.
Have a specific question about packing or pricing for your business? Ask our team.
Frequently asked questions
Is GST charged on loose wheat?
Loose, unbranded cereals such as wheat and rice that are not pre-packaged and labelled are generally exempt. Pre-packaged and labelled packs attract GST at 5%. Always check the current notification with your tax advisor.
Can I claim input tax credit on grain purchases?
Where GST is charged and you are a registered business using the goods for taxable supplies, you can claim input tax credit, provided the supplier issues a proper tax invoice with both GSTINs and files their returns.