Cattle feed prices have risen due to GST impose on some pulses byproducts

Cattle feed prices have risen due to GST impose on some pulses byproducts.

Cattle feed prices in the country have risen due to the imposition of a 5% GST on some pulses byproducts including supplements and husks, forcing millers to ask Union Finance Minister Nirmala Sitharaman to repeal the tax.

Pulse milling produces a diverse range of byproducts such as chilka, khanda, and churi. After varied degrees of processing, these by-products are utilised as cattle feed by the dairy industry to improve palatability and nutritious value.

Prices for these cow feed products have risen dramatically after the implementation of GST on them earlier this month. Also Red | Increased milk price by ₹ 2 limits the organized dairy sector’s profit decline.

Representatives of the All India Dal Mill Association met with the finance minister, pleading with her to repeal the tax. ‘Because by-products of pulses are used by livestock producers across the country, we have asked her to reconsider imposing a 5% GST,’ said Suresh Agrawal, president of the group. ‘The minister has informed us that she will investigate the situation,’ he added.

According to a government circular released on August 3, the 5% GST is payable on bran, sharps, and other residues, whether or not in the form of pellets, resulting from the sifting, milling, or other working of cereals or leguminous plants.