--- title: "HSN Code for Butter, Dairy Spreads & Milk Fats | HSN 04059020 GST Rate" description: "Find HSN and GST Rates for 04059020 related to Butter, Dairy Spreads & Milk Fats with BUSY Accounting - The reliable source for HSN and GST details in India." canonical: "https://busy.in/hsn/hsn-04059020/" --- # HSN Code 04059020: Butter, Dairy Spreads & Milk Fats - [Section 01: Guide to HSN Section 01](https://busy.in/hsn/section-01/) - [Chapter 04: Dairy, Eggs, Honey and Animal-Origin Products](https://busy.in/hsn/chapter-04/) - [Sub-chapter 0405: Dairy fats and oils](https://busy.in/hsn/sub-chapter-0405/) ## GST rates | Description | CGST | SGST | IGST | CESS | | --- | --- | --- | --- | --- | | Other: Ghee | 6% | 6% | 12% | 0% | ## Frequently asked questions ### What products are classified under HSN 4059020 ? It includes Butter, Dairy Spreads & Milk Fats ### Is ITC allowed for costs used to trade Butter, Dairy Spreads & Milk Fats? If your outward supply is taxable (e.g., 5% or 12%), eligible ITC is available subject to general restrictions. For exempt/Nil supplies, reverse credit per Rule 42. ### How to bill mixed items when Butter, Dairy Spreads & Milk Fats is sold with exempt goods? Use separate invoice lines per HSN. Apply TBD for Butter, Dairy Spreads & Milk Fats and Nil for exempt lines. This avoids misclassification and wrong tax collection. ### How much GST applies to Butter, Dairy Spreads & Milk Fats? Under HSN 04059020, Butter, Dairy Spreads & Milk Fats attracts TBD subject to its exact form and packaging. Use the correct HSN and describe the form clearly on the invoice. ### Does ‘pre‑packaged & labelled’ change GST on Butter, Dairy Spreads & Milk Fats? Yes. When Butter, Dairy Spreads & Milk Fats is not fresh/chilled and is sold in pre‑packaged & labelled packs, GST is 5%. If it is not pre‑packaged & labelled, it stays Nil. ### Any import/export nuance for Butter, Dairy Spreads & Milk Fats? Exports are zero‑rated. Imports may draw customs duties; domestic GST follows the schedule for the item’s form/packaging. ### Are e‑way bill and e‑invoice required for Butter, Dairy Spreads & Milk Fats? e‑Way bill is needed for consignment value above ₹50,000 unless exempted. e‑Invoicing is turnover‑based (presently AATO > ₹5 crore) for B2B supplies. ## India's trade performance: HSN Code 04059020 (FY 2024-25) Source: TradeStat EIDB, Ministry of Commerce & Industry. Values in ₹ Crore (FY 2018-19 to FY 2024-25). - Exports: ₹995 Cr (+20.11% YoY) — 0.0270% of India's total exports - Imports: ₹2 Cr (−38.46% YoY) — 0.0000% of India's total imports - Trade balance: ₹993 Cr (Surplus); surplus rank #352 of 12657 HSN codes - Share of Sub-Chapter 0405: 30.89% of its exports; import side 11.70% - Rank within Sub-Chapter 0405: #2 of 5 by export value; import-side #2 ### Key metrics - Export CAGR: 13.78% (FY 2018-19 to FY 2024-25, 7 fiscal years) - National export rank: #530 of 12657 HSN codes by export value (FY 2024-25) - Peak growth year: +28.89% in FY 2020-21 - Contribution to Sub-Ch. 0405: 30.89% of its exports (FY 2024-25) ## India export-import trade statistics: HSN Code 04059020 7-year export and import data, FY 2018-19 to FY 2024-25, in ₹ Crore. Source: Ministry of Commerce & Industry, TradeStat EIDB. | FY | Exports (₹ Cr) | Exp share | Exp YoY | Exp % of Sub-Ch. 0405 | Imports (₹ Cr) | Imp share | Imp YoY | Imp % of Sub-Ch. 0405 | Trade balance | Exp rank | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | FY 2018-19 | 458.75 | 0.0201% | — | 32.14% | 7.40 | 0.0002% | — | 51.86% | +451.35 | #699 | | FY 2019-20 | 439.84 | 0.0200% | −4.12% | 49.10% | < ₹1 Crore | 0.0000% | −88.78% | 6.32% | +439.01 | #728 | | FY 2020-21 | 566.92 | 0.0264% | +28.89% | 74.68% | 1.50 | 0.0001% | +80.72% | 6.49% | +565.42 | #611 | | FY 2021-22 | 599.81 | 0.0191% | +5.80% | 40.73% | < ₹1 Crore | 0.0000% | −45.33% | 13.04% | +598.99 | #734 | | FY 2022-23 | 669.51 | 0.0185% | +11.62% | 55.97% | 2.02 | 0.0000% | +146.34% | 12.32% | +667.49 | #723 | | FY 2023-24 | 828.50 | 0.0229% | +23.75% | 56.62% | 3.90 | 0.0001% | +93.07% | 26.71% | +824.60 | #600 | | FY 2024-25 | 995.11 | 0.0270% | +20.11% | 30.89% | 2.40 | 0.0000% | −38.46% | 11.70% | +992.71 | #530 | - CAGR (7-year): exports 13.78%/yr, imports -17.11%/yr (consistently Surplus) ## Key trade insights: HSN Code 04059020 export-import analysis ### Consistent export growth: 13.78% CAGR over 7 years India's exports under HSN Code 04059020 have grown at a compound annual rate of 13.78% over 7 fiscal years, rising from ₹458.75 Crore in FY 2018-19 to ₹995.11 Crore in FY 2024-25. ### HSN Code 04059020 ranked #530 among all 12657 HSN codes by export value In FY 2024-25, HSN Code 04059020 ranks #530 out of 12657 HSN codes by total export value. Within Sub-Chapter 0405, it ranks #2 of 5. By trade surplus, it ranks #352 of 12657. ### FY 2020-21 was the strongest growth year for HSN Code 04059020 exports The strongest single-year export movement for HSN Code 04059020 was recorded in FY 2020-21, when exports surged by 28.89% over the prior year. ### India maintains a trade surplus of ₹992.71 Crore in HSN Code 04059020 goods In FY 2024-25, India's exports of ₹995.11 Cr exceeded imports of ₹2.40 Cr, resulting in a trade surplus of ₹992.71 Crore — ranking #352 of 12657 by surplus magnitude. ### Import growth of -17.11% CAGR signals stable import dependency for Butter, Dairy Spreads & Milk Fats India's imports under HSN Code 04059020 have grown at -17.11% CAGR, reaching ₹2.40 Crore in FY 2024-25. ### HSN Code 04059020 contributes 30.89% of Sub-Chapter 0405 exports — ranked #2 Among the 5 HSN codes under Sub-Chapter 0405, HSN Code 04059020 ranks #2 by export value — accounting for 30.89% of the sub-chapter's total exports in FY 2024-25. On the import side, it holds 11.70% share (rank #2). ## Related HSN Codes in Sub-Chapter 0405 Ranked by export value (FY 2024-25). | Rank | HSN Code | Exports (FY 2024-25) | | --- | --- | --- | | #1 | [HSN Code 04051000: Butter](https://busy.in/hsn/hsn-04051000/) | ₹1,560 Cr | | #2 | HSN Code 04059020: Butter, Dairy Spreads & Milk Fats (this hsn code) | ₹995 Cr | | #3 | [HSN Code 04059090: Butter & Other Milk-Derived Fats and Dairy Spreads](https://busy.in/hsn/hsn-04059090/) | ₹559 Cr | | #4 | [HSN Code 04059010: Other\|Butter Oil](https://busy.in/hsn/hsn-04059010/) | ₹108 Cr | | #5 | [HSN Code 04052000: Dairy Spreads](https://busy.in/hsn/hsn-04052000/) | < ₹1 Crore |