In response to a query raised in Lok Sabha regarding the high GST rate on mango pulp, the Ministry of Finance clarified that the current 12% GST rate is based on the GST Council's recommendation, which includes representatives from both the Centre and States. Concerns were raised that this rate has led to a decline in demand from beverage companies, potentially impacting mango growers, particularly in Tamil Nadu. The government has not sent a specific proposal to the GST Council for reducing the GST on mango pulp. However, the issue of rate rationalization falls under the purview of a Group of Ministers (GoM) formed during the GST Council's 45th meeting held on 17th September 2021, which is tasked with reviewing the current rate structure. Regarding support to mango growers, the government has outlined various measures under the Mission for Integrated Development of Horticulture (MIDH), a centrally sponsored scheme implemented since 2014-15. The scheme supports production, productivity, and post-harvest activities for horticulture crops, including mangoes. It offers financial assistance for planting material, irrigation, pest management, organic farming, and marketing infrastructure. Under MIDH, farmers can receive 40% of the maximum cost for area expansion (up to 2 hectares), or 50% in case of certain regions such as the North-East, Andaman & Nicobar Islands, and other scheduled or remote areas. These interventions aim to enhance the livelihood of mango farmers despite the prevailing GST structure on mango pulp.

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF REVENUE
LOK SABHA
UNSTARRED QUESTION NO.173
TO BE ANSWERED ON MONDAY, JULY 21, 2025//ASHADHA 30, 1947 (SAKA)

EXORBITANT GST ON MANGO PULP

173. SHRI SACHITHANANTHAM R:

Will the Minister of FINANCE be pleased to state:

(a) whether the Government is aware that due to high GST rate on Mango pulp, the demand from beverage companies has been decreased;

(b)  whether the Government has taken appropriate measures to protect mango growers in Tamil Nadu;

(c)  whether the Government has sent any proposal for reduction of GST on Mango Pulp to the GST Council; and

(d)  if so, the details thereof?

ANSWER
MINISTER OF STATE IN THE MINISTRY OF FINANCE
(SHRI PANKAJ CHAUDHARY)

(a) GST rates are prescribed based on the recommendations of the GST Council which consists of representatives of both Centre and State Governments. Currently, Mango pulp, attract GST at the rate of 12%.

(b)  The measures taken by the government for horticulture crops and mangoes are as below:

(i) Mission for Integrated Development of Horticulture (MIDH), a Centrally Sponsored Scheme is being implemented w.e.f. 2014-15, for holistic growth of the horticulture sector in the country. Under MIDH, assistance is provided for activities related to production and productivity improvement of horticulture crops including mango through various interventions. Under MIDH, assistance is also provided for activities such as production of planting material, vegetable seed production, coverage of area with improved cultivars, rejuvenation of senile orchards, protected cultivation, creation of water resources, adoption of Integrated Pest Management (IPM), Integrated Nutrient Management (INM), organic farming, including in-situ generation of organic inputs, for the development of fruits and vegetables. Capacity buildings of farmers and technicians are also provided for adopting improved technologies. Scheme also envisages creation of post-harvest management (PHM) and marketing for better price realization of produce.

(ii) Under MIDH, assistance is provided for area expansion of horticulture crops including mango @ 40% of the maximum cost limited to maximum area of 2 ha. per beneficiary on pro rata basis for meeting the expenditure on planting material, cost of material of drip irrigation, mulching and INM/IPM etc. in 2 installments of 60:40 subject to survival rate of 80% in 2^nd year. In case of North East and Himalayan states, scheduled areas, vibrant villages, Andaman & Nicobar and Lakshadweep Islands, assistance is @50% of maximum cost.

(c) and (d): The GST Council in its 45^th meeting held on 17^th September, 2021 has constituted a Group of Ministers (GoM) on Rate Rationalisation and the Terms of Reference of GoM include review of the current rate slab structure of GST, including special rates, and recommend rationalization measures.