---
title: "HSN Code for Lignin Sulphonates | HSN 38040090 GST Rate"
description: "Find HSN and GST Rates for 38040090 related to Lignin Sulphonates with BUSY Accounting - The reliable source for HSN and GST details in India."
canonical: "https://busy.in/hsn/hsn-38040090/"
---

# HSN Code 38040090: Lignin Sulphonates

- [Section 06: Guide to HSN Section 06](https://busy.in/hsn/section-06/)
- [Chapter 38: Miscellaneous Chemical Products](https://busy.in/hsn/chapter-38/)
- [Sub-chapter 3804: Wood pulp residues](https://busy.in/hsn/sub-chapter-3804/)

## GST rates

| Description | CGST | SGST | IGST | CESS |
| --- | --- | --- | --- | --- |
| Residual lyes for the manufacture of wood pulp, whether or not concentrated, desugared or chemically treated, including lignin sulphonates, but excluding tall oil of heading 3803: Other | 9% | 9% | 18% | 0% |

## Frequently asked questions

### What products are classified under HSN 38040090 ?

It includes Lignin Sulphonates

### Do e‑way bill and e‑invoice apply for Lignin Sulphonates?

e‑Way bill is needed above ₹50,000 consignment value (subject to exemptions). e‑Invoicing is turnover‑based (presently AATO > ₹5 crore) for B2B supplies.

### Any common misclassification issue with Lignin Sulphonates?

Use the exact HSN and describe the form/grade. For multi‑line invoices, apply the rate per line to avoid wrong tax collection.

### How much GST applies to Lignin Sulphonates?

Under HSN 38040090, Lignin Sulphonates attracts Varies when sold in taxable form. Describe the exact form on the invoice.

### Does packaging or labelling change the GST for Lignin Sulphonates?

For food/agri items, GST can be 5% when not fresh/chilled and sold as pre‑packaged & labelled; otherwise often Nil. For non‑food items, rates depend on the specific sub‑heading.

### Can we claim ITC on inputs used to trade Lignin Sulphonates?

If your outward supply is taxable, eligible ITC is available subject to general restrictions. For exempt/Nil supplies, reverse credit per Rule 42.

## India's trade performance: HSN Code 38040090 (FY 2024-25)

Source: TradeStat EIDB, Ministry of Commerce & Industry. Values in ₹ Crore (FY 2018-19 to FY 2024-25).

- Exports: ₹5 Cr (+1.29% YoY) — 0.0001% of India's total exports
- Imports: ₹153 Cr (+13.68% YoY) — 0.0025% of India's total imports
- Trade balance: −₹149 Cr (Deficit); surplus rank #11093 of 12657 HSN codes
- Share of Sub-Chapter 3804: 30.23% of its exports; import side 29.49%
- Rank within Sub-Chapter 3804: #2 of 3 by export value; import-side #2

### Key metrics

- Export CAGR: 4.25% (FY 2018-19 to FY 2024-25, 7 fiscal years)
- National export rank: #6683 of 12657 HSN codes by export value (FY 2024-25)
- Peak growth year: +449.32% in FY 2019-20
- Contribution to Sub-Ch. 3804: 30.23% of its exports (FY 2024-25)

## India export-import trade statistics: HSN Code 38040090

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. 3804 | Imports (₹ Cr) | Imp share | Imp YoY | Imp % of Sub-Ch. 3804 | Trade balance | Exp rank |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| FY 2018-19 | 3.67 | 0.0002% | — | 51.62% | 83.91 | 0.0023% | — | 37.02% | −80.24 | #6239 |
| FY 2019-20 | 20.16 | 0.0009% | +449.32% | 88.11% | 76.98 | 0.0023% | −8.26% | 36.84% | −56.82 | #4091 |
| FY 2020-21 | 2.33 | 0.0001% | −88.44% | 48.64% | 83.32 | 0.0029% | +8.24% | 31.66% | −80.99 | #6807 |
| FY 2021-22 | 4.43 | 0.0001% | +90.13% | 45.44% | 166.43 | 0.0036% | +99.75% | 42.39% | −162.00 | #6507 |
| FY 2022-23 | 3.33 | 0.0001% | −24.83% | 32.30% | 136.67 | 0.0024% | −17.88% | 31.18% | −133.34 | #6890 |
| FY 2023-24 | 4.65 | 0.0001% | +39.64% | 53.45% | 134.87 | 0.0024% | −1.32% | 33.42% | −130.22 | #6655 |
| FY 2024-25 | 4.71 | 0.0001% | +1.29% | 30.23% | 153.32 | 0.0025% | +13.68% | 29.49% | −148.61 | #6683 |

- CAGR (7-year): exports 4.25%/yr, imports 10.57%/yr (consistently Deficit)

## Key trade insights: HSN Code 38040090 export-import analysis

### Consistent export growth: 4.25% CAGR over 7 years

India's exports under HSN Code 38040090 have grown at a compound annual rate of 4.25% over 7 fiscal years, rising from ₹3.67 Crore in FY 2018-19 to ₹4.71 Crore in FY 2024-25.

### HSN Code 38040090 ranked #6683 among all 12657 HSN codes by export value

In FY 2024-25, HSN Code 38040090 ranks #6683 out of 12657 HSN codes by total export value. Within Sub-Chapter 3804, it ranks #2 of 3. By trade surplus, it ranks #11093 of 12657.

### FY 2019-20 was the strongest growth year for HSN Code 38040090 exports

The strongest single-year export movement for HSN Code 38040090 was recorded in FY 2019-20, when exports surged by 449.32% over the prior year.

### India records a trade deficit of ₹148.61 Crore in HSN Code 38040090 goods

In FY 2024-25, India's imports of ₹153.32 Cr exceeded exports of ₹4.71 Cr, resulting in a trade deficit of ₹148.61 Crore — ranking #11093 of 12657 by surplus magnitude.

### Import growth of 10.57% CAGR signals rising demand for Lignin Sulphonates

India's imports under HSN Code 38040090 have grown at 10.57% CAGR, reaching ₹153.32 Crore in FY 2024-25.

### HSN Code 38040090 contributes 30.23% of Sub-Chapter 3804 exports — ranked #2

Among the 3 HSN codes under Sub-Chapter 3804, HSN Code 38040090 ranks #2 by export value — accounting for 30.23% of the sub-chapter's total exports in FY 2024-25. On the import side, it holds 29.49% share (rank #2).

## Related HSN Codes in Sub-Chapter 3804

Ranked by export value (FY 2024-25).

| Rank | HSN Code | Exports (FY 2024-25) |
| --- | --- | --- |
| #1 | [HSN Code 38040010: Concentrated Sulphate Lye](https://busy.in/hsn/hsn-38040010/) | ₹11 Cr |
| #2 | HSN Code 38040090: Lignin Sulphonates (this hsn code) | ₹5 Cr |
| — | [HSN Code 38040020: Other Iron/Steel Reservoirs (>300L)](https://busy.in/hsn/hsn-38040020/) | Nil |