Sugar HSN Code: Understanding HSN Classifications for Sugar Products
Sugar is one of the most common food items in every home, shop and factory canteen. It is used in tea, sweets, bakery products and many packaged foods.
To use the sugar HSN code correctly and charge GST without mistakes, traders, mill owners and food manufacturers need to know how sugar and related products are classified under HSN and which GST rates apply after the changes from 22 September 2025.
What Is the Sugar HSN Code?
Under GST, sugar is classified in the chapter that covers sugar and sugar confectionery. The main sugar heading covers cane sugar, beet sugar and chemically pure sucrose supplied in solid form such as crystals and cubes.
Most table sugar sold in loose form or in retail packs is covered in this sugar heading. Sugar cubes and sugar sachets are normally treated as the same basic product because they are only different shapes or packings of the same sugar.
Other sweeteners such as glucose, fructose and sugar syrups are grouped in a separate heading that covers other sugars and sugar syrups that do not have added flavour or colour. Sweetening mixes and premixes that contain many ingredients fall in a general food preparation heading and not in the basic sugar heading.
Key Sugar HSN Codes and GST Rates after 22 September 2025
| HSN Code | Product Description | Product Type or Variant | GST Rate |
|---|---|---|---|
| 1701 | Cane or beet sugar and chemically pure sucrose, in solid form | White crystal sugar and plantation white sugar | 5% |
| 1701 | Refined or graded sugar | Refined sugar, sulphur free sugar and low colour sugar | 5% |
| 1701 | Table sugar packed for retail | Sugar cubes, sachets and small retail packs | 5% |
| 1702 | Other sugars and sugar syrups not containing added flavour or colour | Liquid sugar and glucose syrups used in food industry | 18% |
| 2106 | Other food preparations not classified elsewhere | Sweetening mixes and premixes that are not plain sugar | 18% |
HSN Code for White Sugar, Sugar Sachets, and Sugar Cubes
White crystal sugar that is used every day in homes and eateries is normally classified under the main sugar heading in the tariff. This heading also covers plantation white sugar and many refined grades supplied in bags or in bulk.
Sugar cubes and sugar sachets used on restaurant tables and in hotel rooms are usually treated as the same product as white table sugar. Only the shape and packing is different so the HSN code for these products in most cases is the same sugar heading.
If the product is not plain sugar but a mix such as a flavoured sweetener or a diet sweetener, it may move out of the sugar heading and into the heading for other food preparations. In that case it carries the food preparation HSN code and the GST rate for that heading.
GST on Sugar and HSN Code Classification
Sugar is treated as an important food item. Under the three slab GST structure that operates from 22 September 2025, basic sugar in solid form usually continues in the lower slab of 5% under the sugar heading.
Other sugar products such as sugar syrups and many sweetening preparations generally fall in the standard slab of 18% under their own HSN codes. This difference in rates makes correct classification important when you create bills.
In practical billing, traders create separate items for loose sugar, bagged sugar, cubes and sachets, but map all of them to the main sugar HSN code with a GST rate of 5%. Syrups and premixes are mapped to their own HSN codes with an 18% rate if they are not covered by any concession.
When businesses file GST returns, outward supplies are reported HSN wise. If sugar sales, syrup sales and sweetener sales are recorded under the correct HSN codes and GST rates, it becomes easy for buyers to claim input tax credit and for the tax department to match returns with e way bills and purchase records.
Conclusion
The sugar HSN code system places plain sugar in solid form under the main sugar heading, while sugar syrups and many sweetening preparations move to related headings for other sugars and food preparations.
Basic sugar used in homes and food businesses generally carries 5% GST under its sugar HSN code, while syrups and premixes often carry 18% GST under their own codes. When traders and manufacturers map each sugar product to the correct HSN family and apply the right GST rate in invoices and returns, they keep billing accurate and reduce the risk of disputes or penalties for wrong classification.
I’m Fazeel Zaidi, a Chartered Accountant based in Prayagraj with 8 years of experience. I specialize in GST and Audits, helping businesses stay compliant and audit-ready. With a B.Com background, I focus on practical, clear guidance that simplifies regulations and supports better decision-making.
Frequently Asked Questions
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What is the HSN code for sugar in India?
In India, most plain cane sugar and beet sugar supplied in solid form such as crystals or cubes is classified under the main sugar heading in the HSN that covers cane or beet sugar and chemically pure sucrose.
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What is the GST rate for sugar under HSN code?
The GST rate for basic sugar in solid form under the sugar HSN heading is usually 5%. This lower rate reflects sugar as an important food item under the three slab GST structure that applies from 22 September 2025.
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Are sugar cubes and sachets classified under the same HSN code?
Yes. In normal cases sugar cubes and sugar sachets are treated as the same product as table sugar because only the shape and packing is different. They usually share the same sugar HSN code as loose or bagged sugar.
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How does the HSN code for sugar affect GST filing?
The sugar HSN code decides the GST rate to be charged on invoices and how sugar sales are reported in HSN wise tables in GST returns. Correct use of this HSN code makes it easier for buyers to claim input tax credit and reduces the chance of queries from the tax department.
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What GST exemptions apply to sugar products?
There is no broad GST exemption for standard sugar sold in the market. Relief usually comes only in special situations such as export supplies or particular government schemes. For regular domestic trade, plain sugar carries 5% GST under its HSN code and other sugar products are taxed at their normal rate.