GST Rate of 5% applicable on crop nutrients and fertilizers: AAR

The applicant stated that they have been manufacturing Agro inputs like organic manures, Biofertilisers and Fertilisers since 2008; they are pioneers in inventing new products for sustainable agriculture; they have patents to their products namely BO’N (Patent No.389427) and Bio-Phosphate (Patent No.393243); they are launching their new product “Bio-Phosphate”.

In view of the above, the applicant has sought advance ruling in respect of the following question:

a. What is the HSN code & GST rate applicable to our new product by name Bio-Phosphate?

Bio-Phosphate is a Phosphate Solubilizing Fungal Biofertilizer Formulation. This product is registered under FCO (Fertilizers Control Order 1985) product category Phosphate solubilizing Fungal Biofertilizers (Schedule-III, Part A, page no-196) with License No: JDA/F&PP/KAR/FE19-2017145/2019-2020. Phosphate Solubilizing Fungal and Bacterial cultures are blended with the carrier material Rock Phosphate supplemented with essential mineral nutrients, which are crop nutrients and fertilizers.

Advance Ruling:

The product “Bio-Phosphate” merits classification under HSN code 3103 90 00 and thus are exigible to GST @ 5%, in terms of Sl.No.182B of Schedule I to the Notification No.1/2017-Central Tax (Rate) dated 28.06.2017, as amended.

For Official Ruling Download PDF Given Below: