THOOTHUKUDI: Thoothukudi MP Kanimozhi Karunanidhi has urged Union Minister for Food Processing Industries to direct beverage manufacturers to restore mango pulp content usage to 20 % which was the norm till 2022 when changes were effected in the GST slab for the products.
In a communication on Monday to Union Minister for Food Processing Industries, Chirag Paswan, Kanimozhi said mango farmers are facing loss due to declining demand from the beverages manufacturing companies, as they had drastically reduced mango pulp content in their products from 20 % in 2022 to 11% in 2024, following a change in GST slab as per which fruit juices with more than 10% real fruit content attract 28% GST, the same as a carbonated drink whereas those with 10% fruit content attract 18 % GST.
In order to avoid higher tax, manufacturing companies had reduced pulp content in their products, and this has resulted in severe loss to mango farmers, she said.
As the food safety and standards (food products standards and food additives) Regulations, 2016 mandates minimum 10% fruit content to label the product as fruit juice, the companies are marking these products as “fruit-based beverages” or “fruit drink” which falls under a looser regulatory category that requires only 5 to 10 percent fruit pulp. Thus they change the terminologies of the product name to avoid complying with strict norms, the MP added.