States » SouthPosted at: Jun 13 2025 12:09AM


Telangana: Dairy industry seeks GST clarity on flavoured milk

Hyderabad, June 12 (UNI) Top representatives of Telangana’s dairy industry on Thursday urged the state government to recommend uniform GST classification for flavoured milk.
A delegation led by K. Balakrishna Reddy, Secretary, Indian Dairy Association and Head of Operations, Dodla Dairy, submitted a formal representation to state Commercial Taxes Commissioner Ms. K Haritha, urged him to recommend uniform GST classification for flavoured milk under the 5% GST slab, in line with judicial rulings and industry practices.
The members informed the Commissioner that a majority of industry players have already adopted the 5 per cent GST rate for flavoured milk, based on recent High Court rulings that classify flavoured milk under HSN 0402 as a dairy product, not as an aerated or beverage item.
Despite this, ambiguity in GST classification continues to create confusion and poses litigation risks, they said that the dairy sector is now urging the Telangana Government to advocate for a formal GST Council notification to ensure clarity, consistency, and fair taxation.
“The dairy sector is crucial for rural livelihoods and consumer health. Misclassification or higher taxation on value-added dairy products like flavoured milk can disrupt both the supply chain and affordability,” said the delegation in its representation..
Commissioner Haritha acknowledged the concerns and assured the delegation that the matter would be examined and appropriately taken up with higher authorities.
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