Introduction

Understanding how HSN codes and GST rates apply to cement is crucial for traders, manufacturers, and construction companies in India. From general grey cement to niche products like white cement, Ultratech, and Birla White Cement, each type has a unique classification that determines its tax obligations. With the cement industry being a major consumer of petroleum coke, there’s also a strong connection between cement pricing and global energy costs. This article will explore how cement products are classified under India's taxation system, how GST affects pricing, and why petroleum coke matters in the discussion.

Cement HSN code and GSTrate

cement hsn code and gst rate plays a fundamental role in how cement products are priced and taxed in India. The general HSN (Harmonized System of Nomenclature) code used for cement is 2523, which covers all hydraulic cements like Portland, slag, and supersulphate cement.

Under the GST framework, cement attracts a 28% tax rate, which is among the highest in the country’s tax slabs. This high rate directly impacts the end price of cement, especially for small and medium-sized construction projects where cost efficiency is critical.

It's also worth noting that the production of cement consumes significant energy. Petroleum coke, known for its high carbon content and affordability, is commonly used as a fuel in cement kilns. Since the cost of petcoke fluctuates with global oil markets, this also affects cement manufacturing expenses and, indirectly, the GST-influenced final cost to consumers.

White Cement HSN code and GST rate

white cement hsn code and gst rate differ slightly from standard grey cement due to its more refined classification. White cement, often used in architectural projects and aesthetic finishes, is categorized under HSN code 25232100.

Despite its distinct characteristics and higher cost, white cement is still taxed at the 28% GST rate, identical to that of grey cement. The Indian tax system does not differentiate between aesthetic or functional cement when it comes to GST percentage, although the product applications are quite different.

In white cement production, achieving the pure color requires very high temperatures and cleaner fuels. This is where petroleum coke becomes essential. The low sulfur content in certain grades of petcoke helps maintain the brightness of white cement. As fuel prices shift, so does the cost to produce white cement—making HSN classification and tax calculations an even more critical part of business planning for sellers and buyers alike.

Ultratech Cement HSN code and GST rate

ultratech cement hsn code and gst rate is often searched by contractors and retailers dealing in one of India's most widely used cement brands. Ultratech produces various types of cement, but most of its commonly sold products fall under HSN code 25232930, which is assigned to ordinary Portland cement.

Just like other cement products, Ultratech cement is taxed at a flat 28% GST rate. Whether it's packed in 50-kg bags or transported in bulk, the same rate applies across all regions in India, which simplifies compliance but increases cost burdens for smaller projects.

Ultratech, being a major manufacturer, depends heavily on petroleum coke for kiln fuel. The volume they consume makes them highly sensitive to price changes in petcoke, which in turn affects their supply chain and final cement pricing. Consequently, knowing the HSN code and GST rate isn’t just about legal compliance—it's also a way for traders to monitor and forecast costs.

Birla White cement HSN code and GST rate

birla white cement hsn code and gst rate is relevant for specialized construction and decorative applications. Birla White Cement, manufactured by the Aditya Birla Group, is a premium product and shares the same HSN code as general white cement: 25232100.

Despite its premium branding, Birla White Cement also attracts the standard 28% GST rate, which significantly affects its final retail price. This is especially relevant in interior design and high-end building projects where this cement is used for walls, flooring, and artistic applications.

In the production of Birla White, petroleum coke is used selectively to ensure fuel consistency and color accuracy. Because white cement must remain free of iron and other impurities, fuel purity directly influences product quality. This makes petcoke not just an energy source but a quality control factor, further linking fuel cost fluctuations to the product's market price and GST-driven tax burden.

Conclusion

In conclusion, whether you're dealing with regular cement, white cement, Ultratech, or Birla White, all products fall under HSN codes that trace back to category 2523 or its subheadings. The 28% GST rate applies uniformly across all types, making it one of the most heavily taxed materials in construction.

Additionally, the deep reliance of cement manufacturers on petroleum coke brings another layer of economic complexity. As petcoke prices rise or fall, so do the manufacturing costs—and since GST is applied as a percentage of the sale price, tax amounts fluctuate accordingly.

Understanding the relationship between cement classification, tax policy, and fuel dependency is vital for professionals navigating India’s construction sector. With accurate HSN codes and awareness of GST impact, businesses can better plan, price, and comply in a competitive and dynamic marketplace.