Ice cream industry welcomes GST relief, expects growth boost

The Government of India has reduced GST on ice cream to 5 per cent, a decision taken at the September 3–4 GST Council meet. IICMA welcomed the move, calling it historic and vital for affordability, industry growth, and farmer support

Hyderabad: The Indian Ice Cream Manufacturers’ Association (IICMA) has welcomed the landmark decision of the Government of India to reduce Goods and Services Tax (GST) on ice cream to 5 per cent. The decision was taken at the GST Council meeting held on September 3 and 4, 2025.

Terming it a historic reform, IICMA said the move, made possible under the leadership of Prime Minister Narendra Modi, would strengthen the ice cream industry while making the product more affordable for consumers across the country.

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“IICMA is grateful to the Government for this much-awaited relief. The reduction in GST will not only ease the burden on businesses but will also pave the way for greater innovation, expansion, and growth in the sector,” said Sudhir Shah, President of IICMA.

The association expressed its gratitude to President of India Droupadi Murmu, Union Finance Minister Nirmala Sitharaman, the GST Council and all stakeholders.

IICMA also recognised the leadership and tireless efforts of Sudhir Shah (President), Ashish Nahar (Secretary) and Pradeep Pai (Treasurer), Rajesh Gandhi (Chairman and Immediate Past President), R G Chandramogan (Chief Advisor), Regional Ice Cream Associations across India and members of the Managing Committee and IICMA team for their role in achieving the reform.

According to IICMA, the GST reduction will make ice cream more affordable, boost industry growth, and create new jobs. It would strengthen the dairy sector, support farmers, and simplify taxation. The decision is also expected to encourage innovation, investment and exports, while reinforcing consumer trust in safe, high-quality, and globally competitive Indian ice cream products.

About IICMA: The Indian Ice Cream Manufacturers’ Association is a professional non-profit body committed to promoting best practices, safe manufacturing standards, and sustainable growth within the ice cream sector. With this GST reform, the association said it looked forward to a new era of progress for the industry and consumers.