The Central Government has added psyllium seeds, commonly known as Isabgol or Isabgul, to the GST exemption schedule through Notification No. 03/2026-Central Tax (Rate), dated 27 October 2026. The amendment takes effect from 1 November 2026 and provides a specific entry for psyllium seeds to clarify their exemption from GST.

1. What Is the GST Amendment?

The notification amends Notification No. 10/2025-Central Tax (Rate), dated 17 September 2025, issued under Section 11(1) of the Central Goods and Services Tax Act, 2017.

A new Serial No. 87A has been inserted into the Schedule, covering:

• Product: Psyllium seeds (Isobgul/Isobgol).

• Tariff item: 1211 90 13.

• GST rate: Nil, subject to the scope of the exemption entry.

• Effective date: 1 November 2026.

The amendment specifically identifies psyllium seeds in the exemption schedule, reducing uncertainty over their GST treatment.

2. Corresponding IGST and UTGST Notifications

Matching amendments have also been issued under the integrated tax and Union Territory tax exemption notifications:

• Notification No. 03/2026-Integrated Tax (Rate), dated 27 October 2026.

• Notification No. 03/2026-Union Territory Tax (Rate), dated 27 October 2026.

These amendments also take effect from 1 November 2026, supporting consistent exemption treatment under the applicable GST framework.

3. Impact on Traders, Processors and Businesses

The exemption is relevant to traders, wholesalers, processors and other businesses dealing in psyllium seeds.

Businesses should take the following steps:

1. Update product tax codes and invoicing software from 1 November 2026.

2. Verify that the goods supplied qualify as psyllium seeds under tariff item 1211 90 13.

3. Apply the nil rate to eligible supplies made on or after the effective date.

4. Review inventory and transaction records to ensure that supplies before and after the effective date are treated correctly.

5. Review input tax credit attributable to exempt supplies under the applicable provisions of the CGST Act and Rules.

The exemption applies to the specified seeds and should not automatically be extended to processed psyllium products or formulations without checking their classification and applicable GST rate.

Conclusion

The new entry provides clear GST exemption treatment for psyllium seeds from 1 November 2026. Businesses dealing in Isabgol should update their invoicing systems, verify product classification and review the tax treatment of related transactions.

For expert guidance on this topic, contact your tax professional today.