India announced comprehensive GST reforms targeting food processing and logistics sectors on Monday. The government eliminated taxes on essential items such as UHT milk, paneer, and traditional breads like paratha and roti. Packaged foods, chocolates, sauces, and beverages received reduced rates of five percent.
The reforms extended beyond food items to support infrastructure. Packaging materials like crates and paper face five percent taxation while commercial trucks saw rates drop from 28 percent to 18 percent. These changes aim to reduce freight costs and strengthen supply chains across the country.
Officials simplified the tax framework by placing most food products under five percent or zero tax categories. This restructuring...