What’s Changing in GST from Sept 22
The GST Council has rationalised the GST slab structure: now there are two main GST slabs — 5% (merit rate) and 18% (standard rate) — plus a 40% special rate for luxury or sin goods.
Many processed foods will see their GST reduced. Items that were earlier taxed at 12% or 18% are being shifted to 5%.
Some essential items will now attract 0% (nil) GST — meaning no tax at all.
🍦 What Happens to Namkeens, ice cream, cheese & Paratha
These popular food items are included in the list of goods getting relief. Here’s how their GST rates are changing:
Item
Previous GST Rate
New GST Rate (from Sept 22)
What That Means
Packaged Namkeens / Bhujia / mixtures
12%
5%
Expect lower tax burden; if fully passed on, approx ~5–7% cheaper on tax portion.
Ice Cream / Edible Ice
18%
5%
Big savings for ice cream lovers — about 13% less tax.
Cheese
12%
5%
Lesser tax, reduced costs.
Packaged Parathas / indian breads (paratha/parotta etc.)
18% or mixed 5–18% depending on type
Nil (0%) tax in many cases; completely tax-free if pre-packaged or labelled and category qualifies
They’ll become significantly more affordable as GST component vanishes.
💡 How Much Cheaper Will They Really Be?
The exact savings depend on how much of the product’s price is GST, and whether the manufacturers/retailers pass on the benefit. Sometimes companies don’t reduce prices fully.
For example, an ice cream that cost ₹200 inclusive of 18% GST had ~₹30 as tax. Post-cut at 5%, tax will be ~₹9-₹10. That’s a saving of ₹20-₹25.
For items going to 0%, cost reduction could be more visible — for parathas, breads, etc., people could see the tax component dropping off completely.
⚠️ Caveats & What to watch Out For
Just because GST is cut doesn’t guarantee retail price cuts — margins, supply chain costs, packaging etc. still matter.
Inflation, transport costs, raw material prices could offset some of the benefit.
The changes kick in from 22 september 2025, so prices may adjust slowly. Some retailers may have old stock.
For packaged/labelled goods vs unlabelled or fresh/local products, different rules may apply. Some may already be taxed differently.
✅ Bottom Line
Yes — namkeens, ice cream, cheese, and parathas are set to become noticeably cheaper under the new GST regime. The tax reduction is real, and consumers should benefit. Exactly how much depends on market dynamics and whether the savings trickle down to the final price tag.
If you like, I can estimate what a basket of such food items (say, namkeens
Disclaimer:
The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of any agency, organization, employer, or company. All information provided is for general informational purposes only. While every effort has been made to ensure accuracy, we make no representations or warranties of any kind, express or implied, about the completeness, reliability, or suitability of the information contained herein. Readers are advised to verify facts and seek professional advice where necessary. Any reliance placed on such information is strictly at the reader’s own risk.
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