Mango Drink Makers Reducing Pulp to Evade GST, Hurting Farmers: Kanimozhi Flags Issue to Centre

DMK MP Kanimozhi Karunanidhi has raised serious concerns over a sharp reduction in mango pulp content in fruit-based beverages, which she says is hurting mango farmers in Tamil Nadu. In a letter to Union Food Processing Minister Chirag Paswan, she alleged that manufacturers are lowering pulp levels in mango drinks to avoid higher Goods and Services Tax (GST) rates.

Posting the letter on her social media handle on Monday, the Thoothukudi MP highlighted that the pulp content in mango drinks has dropped from 20% in 2022 to just 11% in 2024. She alleged that companies are misusing regulatory loopholes by branding their products as “fruit drinks” instead of “fruit juice”, thereby violating Food Safety and Standards Authority of India (FSSAI) norms.

Kanimozhi explained that under the current GST rules, beverages with more than 10% real fruit content attract 28% GST, similar to carbonated drinks. To bypass this higher tax bracket, manufacturers are reducing pulp levels to fall below this threshold. Drinks with less than 10% fruit content attract a lower GST rate—18% or even less, she noted.

“The current regulations allow products with just 5–10% fruit content to be marketed as ‘fruit-based beverages’ or ‘fruit drinks’, significantly less than what consumers expect,” Kanimozhi wrote. She warned that this dilution not only misleads consumers but also directly impacts mango farmers, whose demand suffers as companies buy less pulp.

Calling it a matter of both consumer rights and farmer welfare, the DMK leader urged the Union government to intervene. “I have requested the ministry to take immediate corrective action to restore 20% pulp usage and stop this dilution of standards that is affecting the livelihoods of mango farmers,” she stated.

The letter brings attention to a larger debate around how taxation policies influence manufacturing practices and potentially harm agricultural stakeholders. The Union Food Processing Ministry has yet to respond publicly to the concerns raised.

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