A joint report by EY and Home Insect Control Association (HICA) has called for a major tax cut on household insecticides.
The recommendation is clear: reduce GST from 18% to 5%.
The reason? These everyday products play a crucial role in preventing mosquito-borne diseases like malaria, dengue, and chikungunya.
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High Need, Low Access in Rural India
The report highlights a sharp gap in usage between urban and rural India.
In cities, products like liquid vapourisers, coils, and sprays are widely used, with penetration levels as high as 92–99%.
But in rural areas, usage drops to just 64–73%.
The main reason is affordability. Many households simply cannot afford these products due to the higher tax rate.
This is a concern because rural populations are often more vulnerable to mosquito-borne diseases.
First Line of Defense at Home
Household insecticides are not just convenience products—they are often the first and most immediate protection against mosquitoes.
Large-scale solutions like spraying drives or bed nets don’t always work effectively due to practical challenges and user habits.
That’s where these products come in.
As Jayant Deshpande explains, items like liquid vapourisers are essential in reducing the spread of diseases but remain less accessible because of high taxes.
Why the Tax Structure Is Being Questioned
The report also points out an inconsistency in the tax system.
Many essential health and hygiene products have already been moved to lower GST rates—some even to zero.
Yet, household insecticides are still taxed at 18%.
In September 2025, the government simplified the Goods and Services Tax (GST) structure by merging multiple tax slabs into just two main ones—5% and 18%.
A new 40% slab was also introduced for luxury and sin goods.
Given their public health importance, experts argue that insecticides should fall into the lower 5% category.
The Bottom Line
The message from the report is straightforward.
Lowering GST on household insecticides could make them more affordable, especially for low-income and rural families.
And that, in turn, could help reduce the spread of serious mosquito-borne diseases.
In simple terms, a tax cut here isn’t just about savings—it could have a real impact on public health.