A joint report by EY and the Home Insect Control Association (HICA) has recommended slashing the Goods and Services Tax (GST) on household insecticides from 18% to 5%, citing their critical role in preventing mosquito-borne diseases like malaria, dengue, and chikungunya.
The report, titled “GST rationalization for household insecticides: A public health imperative,” stated that lowering the tax rate, along with introducing a clear and distinct product classification under the GST framework, would significantly improve affordability in rural and low-income households, which are the most vulnerable to vector-borne illnesses.
Despite high urban penetration of household insecticides such as liquid vapourisers, coils, and aerosols (92–99%), rural adoption remains considerably lower at 64–73%, largely due to affordability barriers, the report stated. The EY-HICA study highlights that these products serve as an essential first line of defense at the household level, where large-scale public health interventions like indoor residual spraying and bed nets often face practical and behavioural limitations.
“Household insecticide products like liquid vapourisers are essential for preventing mosquito-borne diseases such as malaria and dengue. However, these products are currently taxed at 18%, making them less affordable for consumers,” said Jayant Deshpande, secretary and director, HICA.
The report points out that several essential health and hygiene products saw their GST rates reduced to 5% or nil after September 2025, yet household insecticides continue to attract the higher 18% levy. In September, the government streamlined the GST regime by merging the existing four tax slabs (5%, 12%, 18%, and 28%) into two slabs of 5% and 18%, and also introduced a higher 40% tax slab for luxury and sin goods.