HSN Code for Cashew Kernels – GST Rate, Export Rules & ITC-HS 08013200 Explained

India is the world’s largest processor and exporter of cashew kernels, with major processing hubs in Goa, Kerala, Maharashtra, and Tamil Nadu. Cashew kernels – the edible portion of the cashew nut after shelling, processing, and drying – are exported globally to markets in the USA, Europe, the Middle East, and Asia as a premium food product.

If you process, trade, or export cashew kernels, using the correct HSN code is essential for GST invoicing, export documentation, and APEDA compliance. This guide covers ITC-HS 08013200, the correct classification for cashew kernels, along with GST rate, export policy, APEDA requirements, and practical tips for Indian cashew exporters.

Use HSN 08013200 for all cashew kernels (shelled nuts). Raw cashew nuts in shell use a different code (08013100).

What Are Cashew Kernels?

Cashew kernels are the edible nuts extracted from the cashew fruit’s shell after processing – which includes steaming, drying, shelling, and grading. They are sold as whole kernels, splits (broken pieces), or in processed forms (roasted, blanched, salted) for direct consumption and food industry use.

India’s cashew processing industry annually processes raw cashews imported from African and Asian suppliers, transforming them into premium kernels for export. The processed kernels are graded according to international standards (W180, W210, W240, W320, etc.) based on kernel size and quality.

HSN Code for Cashew Kernels – 08013200

The correct HSN code for cashew kernels is 08013200.

Level	Code	Description
Chapter	08	Edible fruit and nuts; peel of citrus fruit or melons
Heading	0801	Coconuts, Brazil nuts and cashew nuts, fresh or dried
Sub-heading	080132	Cashew nuts – shelled (kernel form)
8-digit	08013200	Cashew kernels – dried, whether or not blanched or roasted

Quick breakdown:

• 08 → Chapter: Edible fruit and nuts
• 0801 → Heading: Coconuts, Brazil nuts, and cashew nuts
• 080132 → Sub-heading: Cashew nuts in shelled form (kernels)
• 08013200 → Full 8-digit code for dried cashew kernels – whether blanched, roasted, or in natural form

Use 08013200 on all GST invoices, e-way bills, shipping bills, and commercial export invoices for cashew kernels – whole pieces, splits, blanched, roasted, or salted.

What If Your Cashew Product Is Different?

HSN classification for cashew products varies by form and processing stage:

Cashew Product Form	Correct HSN Code	When to Use
Cashew kernels (shelled, dried)	08013200	All processed, dried cashew kernels – whole, splits, blanched, roasted
Raw cashew nuts (in shell, dried)	08013100	Unshelled cashew nuts in their natural shell form
Cashew nut shells (CNSL processing)	12099090	Shell waste used for cashew nut shell liquid extraction
Cashew nut butter / paste	20089099	Processed cashew butter, spreads, or pastes

Important distinction: Use 08013200 only for shelled, dried cashew kernels (the edible nut inside). Raw unshelled cashews in shell use 08013100 – a different HSN code with different GST and export treatments. Always confirm the form of your product before invoicing.

A helpful reference for navigating nut and dried fruit HSN codes: ITC-HS Code: How to Find the Right 8-Digit Export Code in India (2026)

GST Rate on Cashew Kernels

GST rate: 5%

Tax Component	Rate
CGST	2.5%
SGST	2.5%
IGST (interstate supply)	5%
Export	Zero-rated

Cashew kernels under HSN 08013200 attract 5% GST – the concessional rate applied to most unprocessed and minimally processed dried fruits and nuts. This applies to whole kernels, splits, blanched, roasted, and salted varieties sold for direct consumption.

GST 2.0 Note: The 5% rate for dried fruits and nuts (Chapter 08) has remained stable through the post-September 2025 GST 2.0 revision. Verify on cbic-gst.gov.in before invoicing if your product is a prepared/processed cashew item (cashew butter, cashew snack mixes) which may fall under a different chapter and attract 12% GST.

For exports, IGST is zero-rated. Filing a Letter of Undertaking (LUT) before each financial year is standard practice for cashew kernel exporters – this allows shipment without paying IGST upfront and preserves working capital. Read: What is LUT in GST – How to File Form RFD-11 Before March 31

Export Policy for Cashew Kernels

Export Policy: FREE

Cashew kernels are classified under the Free export category as per Schedule II of India’s ITC-HS Export Policy. This means:

• No export licence required for processed cashew kernels
• No quantity or value restriction on exports
• No prior DGFT approval needed
• A valid IEC (Importer Exporter Code) is the only mandatory baseline requirement to export

⭐ Expert Tip (Avadhut Taru): While APEDA handles the registration, your buyer will likely demand a Fumigation Certificate and a Certificate of Analysis (COA) proving the kernels are free from Aflatoxin and Salmonella. Always ensure your vacuum packaging is intact; if the seal breaks, the kernels absorb moisture, and you risk shipment rejection or costly delays at the destination port.

APEDA Registration – Legally Mandatory: As per DGFT guidelines, registration with APEDA is mandatory for all cashew kernel exporters. Without an active APEDA RCMC, you cannot obtain the Export Registration Certificate (ERC) required for Customs clearance.

• Obtain Export Registration Certificate (ERC) for cashew exports
• Access international market price data and quality standards
• Participate in APEDA-supported trade fairs and buyer-seller meets
• File export bills of export correctly with customs authorities

Cashew kernel exporters without APEDA registration may face customs clearance delays or difficulty claiming export benefits and cannot claim export benefits. Registering with APEDA is straightforward and available through the APEDA online portal (apeda.gov.in).

Quality Standards: International buyers (especially EU and US importers) require compliance with food safety standards: FSSC 22000, SQF (Safe Quality Food), or equivalent certifications. These are buyer-side requirements, not Indian legal requirements, but failure to meet these standards may lead to shipment rejection or delays at destination ports at destination ports.

If you are a cashew processor setting up exports for the first time, IEC registration is your first step: What is IEC Code – How to Apply for Import Export Code in India (2026)

RoDTEP and Duty Drawback for Cashew Kernels

RoDTEP: Cashew kernels under ITC-HS 08013200 are covered under India’s RoDTEP (Remission of Duties and Taxes on Exported Products) scheme.

RoDTEP Restoration (May 2026): As per DGFT Notification No. 66/2025-26, the 50% restriction has been withdrawn.

• Restored Rate: 1.2% for HSN 08013200.
• Validity: Extended until September 30, 2026 (Notification No. 74/2025-26).
• Note: Ensure your shipping bill is marked with ‘Y’ to claim this credit.

Duty Drawback: Cashew processors importing raw cashews from overseas and converting them to kernels may be eligible for customs duty drawback on the imported raw material. Duty drawback may be available depending on the applicable schedule and processing stage. Exporters should confirm the exact rate with their CHA or the latest drawback schedule before shipment.

Raw Cashew Nut (RCN) Import Context: Most Indian cashew processors import raw cashew nuts from African suppliers (Tanzania, Mozambique, Guinea-Bissau, etc.) and process them domestically. The RCN import duty is separate from export benefits – processors should track RCN import duty paid against drawback eligibility and RoDTEP claims on the finished kernels.

Your export invoice must correctly state ITC-HS code 08013200, IEC, GSTIN, APEDA registration number, LUT or bond reference, and declared FOB value in foreign currency. Missing APEDA registration or incorrect fields can delay RoDTEP credit. Use the Export Invoice Generator to create a fully compliant India-specific export invoice – with all mandatory GST, APEDA, and customs fields built in.

Who Searches for HSN Code 08013200?

This article is relevant for:

• Cashew processors and manufacturers in Goa, Kerala, Maharashtra, and Tamil Nadu filing GSTR-1 and GSTR-3B returns
• Cashew kernel exporters shipping to buyers in the USA, Europe, Middle East, and Asia
• Cashew trading companies and brokers consolidating kernels from multiple processors for bulk export
• MSME and cottage industry processors producing artisan or specialty cashew kernels (roasted, flavored, organic) for export
• CAs and compliance consultants advising cashew sector clients on APEDA compliance and export documentation

Practical example: A cashew processing unit in Goa imports raw cashew nuts from an African supplier, shells and dries them to produce whole kernels and splits, and receives an export order from a food distributor in the USA. They confirm APEDA registration is current, classify the shipment under ITC-HS 08013200, file a shipping bill, reference their LUT on the commercial invoice to export without IGST, and claim RoDTEP credit post-shipment via ICEGATE.

Cashew Kernels – Grades, Standards & Regional Names

Cashew kernels are graded internationally according to size and quality standards. These grade designations do not change the HSN code (all use 08013200), but they determine export pricing and buyer specifications:

Grade Code	Kernel Size	Description / Use	Export Market
W180	Largest	180 kernels per pound – premium whole pieces	Premium / confectionery
W210	Large	210 kernels per pound – high-grade whole pieces	USA, Europe
W240	Medium	240 kernels per pound – standard whole pieces	General export
W320	Small	320 kernels per pound – small whole pieces	Food industry, snacks
SP	Pieces	Splits and broken pieces – food processing use	Food manufacturers
LWP	Pieces	Large white pieces – industrial use	Oil extraction, food

Indian cashew exporters use these international grade codes in commercial invoices and export documentation. Goa-based exporters are particularly known for W240 and W320 grades; Kerala processors specialize in organic and specialty variants. Regional processing styles and branding (often based on origin or processing method) do not change the HSN code – all grades and variants use 08013200.

How to Use HSN 08013200 in Your Paperwork

To ensure your cashew shipment clears customs without queries in 2026, follow this roadmap:

• Category 1 (One-Time Setup): Verify your IEC Code is updated in the April-June window and ensure your APEDA RCMC is active and specifically lists “Cashew” as a product.
• Category 2 (Shipment-Specific): On your Export Invoice, mention the 8-digit HSN and the specific Grade Code (e.g., W240 or W320). If you are exporting under GST exemption, ensure your LUT is filed for the 2026-27 financial year.

Frequently Asked Questions