Authority for Advance Ruling — Agriculture Produce – The applicant is engaged in production and processing of agricultural seeds. The applicant outsources certain services such as cleaning, drying, grading and packing to the job workers. In the process they also transport the seeds by engaging a GTA. The applicant sought an advance ruling as to whether the seeds received, processed, packed and returned by the Applicant, as job worker, are 'agricultural produce'; whether the storage of the seeds in the storage facility/godowns, loading, unloading and packing of the seeds (heading No.9986) by the applicant - job worker on job work basis are exempt from payment of GST in terms of Sl. No. 54(e) of the Notification No. 12/2017- CTR and Sl.No.24(1)(e) of the Notification No. 11/2017- CTR. The authority observed that the seeds produced by them do not qualify as agricultural produce.

Held that:- The Hon’ble Authority for Advance Ruling held that seed is not an agricultural produce in terms of the definition of the notifications. Further, the storage of the seeds in the storage facility/godowns, loading, unloading and packing of the seeds are not exempted.