An HSN code for grocery items is the standard product code you put on a GST bill so
the correct tax rate is applied — for example, rice is 1006, sugar is 1701, and edible
oil sits in 1507–1517. There is no single “grocery” code; every product has its own.
This guide gives you a plain-English table of the codes a kirana shop uses most, explains
how many digits you need, and shows how the HSN code decides the GST rate.
HSN code for grocery items: the common ones
HSN (Harmonised System of Nomenclature) is an international way of numbering goods. Food staples live in chapter 10 (cereals) and chapter 11 (milling products); packaged and prepared foods sit higher up. Here are the codes a typical grocery counter meets every day. Treat the rate column as indicative — rates changed under the 2025 GST reform, so confirm each item’s current rate before you bill it (see the note below the table).
| Item | HSN code | Typical GST band (verify) |
|---|---|---|
| Rice | 1006 | Often nil when not pre-packaged & labelled* |
| Wheat | 1001 | Often nil when not pre-packaged & labelled* |
| Wheat flour / atta | 1101 | Often nil when not pre-packaged & labelled* |
| Pulses / dal | 0713 | Often nil when sold loose* |
| Sugar | 1701 | 5% |
| Edible oil (sunflower, groundnut, etc.) | 1507–1517 | 5% |
| Tea | 0902 | 5% |
| Coffee | 0901 | 5% |
| Milk (fresh / UHT) | 0401 | Fresh and UHT milk are nil* |
| Salt | 2501 | Nil |
| Biscuits | 1905 | Verify current rate* |
| Namkeen / bhujia / mixtures | 2106 | Verify current rate* |
| Aerated / soft drinks | 2202 | Higher slab — verify* |
| Toilet soap | 3401 | Verify current rate* |
| Toothpaste | 3306 | Verify current rate* |
*Whether a food item is taxable often depends on whether it is pre-packaged and labelled versus sold loose, and the 2025 reform moved several items. Do not assume — check the current rate for each item on cbic.gov.in or with your CA. Our companion piece on the GST rate for grocery and food items walks through the current slabs.
How many digits of HSN code does your shop need?
You don’t always need the full code. The requirement is tied to your turnover (CBIC Notification 78/2020):
| Turnover in the previous year | HSN digits required |
|---|---|
| Up to ₹5 crore | 4 digits (on B2B invoices) |
| More than ₹5 crore | 6 digits |
Most kirana and small retail shops are comfortably under ₹5 crore, so a 4-digit code —
1006 for rice, 1701 for sugar — is enough on the bill. Because rules get revised,
confirm the current requirement on gst.gov.in or with your CA
before you finalise your invoice format.
How the HSN code sets the GST rate
The HSN code is not just a label — it is what links a product to its notified GST rate.
When you tag “Sugar” with 1701, the code carries the rate with it. That’s why getting the
code right is the same job as getting the rate right: pick the wrong code and you charge the
wrong tax, which shows up as a mismatch at return time.
This matters most for items that look similar but sit in different slabs — loose grains versus the same grain pre-packaged and labelled, or plain biscuits versus a snack mixture. The code decides; the rate follows.
A worked example
Meena runs a provision store in Madurai, Tamil Nadu. A walk-in customer (also in Tamil Nadu) buys:
| Item | HSN | Qty | Taxable value | GST 5% |
|---|---|---|---|---|
| Sugar | 1701 | 2 kg @ ₹45 | ₹90.00 | ₹4.50 |
| Sunflower oil | 1512 | 1 L @ ₹140 | ₹140.00 | ₹7.00 |
- Taxable value = ₹90 + ₹140 = ₹230.00
- Total GST at 5% = ₹4.50 + ₹7.00 = ₹11.50
- It’s an intra-state sale (buyer in the same state), so the 5% splits into CGST 2.5% = ₹5.75 and SGST 2.5% = ₹5.75.
- Invoice total = ₹230.00 + ₹5.75 + ₹5.75 = ₹241.50, rounded to ₹242 (round-off +₹0.50).
If Meena shipped the same order to a customer in Kerala, it would be inter-state: one IGST 5% = ₹11.50 line instead of the CGST/SGST split — the total stays ₹241.50. The buyer’s place of supply is what decides the split; the HSN codes and rates don’t change.
Getting HSN and tax right on every bill
You can keep an HSN list on paper and copy the code onto each bill by hand. The reason most shops don’t is speed and accuracy at the counter — the code, the digit count for your turnover, and the CGST/SGST-or-IGST split all have to be right on every sale.
Yojika is offline-first GST billing software built for Indian small shops. You set each item’s HSN code once, and every bill then carries the code and applies the tax split automatically from the place of supply — printed on A4, A5, or a thermal receipt, in the language your customers read. Your data stays on your own PC.
- See what’s included on the features page.
- Or download Yojika and try it free for 14 days.
New to GST bills? Start with our guide to the GST invoice format for small shops.
This article is general information, not tax advice. HSN classifications and GST rates change — confirm the current position on gst.gov.in / cbic.gov.in or with your CA.