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As 18% GST debate on caramel popcorn continues, a look at the popular snack’s history and evolution

Caramel Popcorn GST: While the debate regarding GST levied on different types of popcorn is ongoing, did you know that the snack has an interesting history spanning centuries? 

Popcorn GST Row: How was caramel popcorn invented?Popcorn GST Row: How was caramel popcorn invented? (Source: Freepik)

Popcorn tax debate: The humble popcorn, a staple snack for moviegoers and casual munchers alike, has found itself at the center of a heated debate over India’s Goods and Services Tax (GST) classifications. 

The GST Council, chaired by finance minister Nirmala Sitharaman, announced on December 21, 2024, that popcorn will be taxed differently based on its preparation and flavour. Non-branded popcorn mixed with salt and spices will attract a 5% GST, pre-packaged and branded popcorn will fall under the 12% GST bracket, and caramel popcorn, categorised as sugar confectionery, will face the steepest rate of 18%. This decision has sparked criticism from opposition leaders and fuelled outrage on social media, with some questioning the complexity of the tax system introduced in 2017.

Defending the decision, Sitharaman explained the rationale behind the varying rates. “When you talk outside, it looks silly… but during discussions with states in the Fitment Committee on every item, it is clearly mentioned that things with added sugar are treated differently… be it drinks, carbonated drinks, juice… whatever has added sugar,” she said. “This is why, till the time popcorn is salted, it attracts five per cent GST. But when it has added caramelised sugar, it is no longer namkeen, hence, its rate is different.” Caramel popcorn, she clarified, due to its sugary nature will be classified as sugar confectionery under HS 1704 90 90, attracting an 18% GST rate.

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While the debate is ongoing, did you know that popcorn, a snack loved by millions, has an interesting history spanning centuries

History of popcorn

Kanikka Malhotra, consultant dietician and certified diabetes educator, tells indianexpress.com, “The oldest popcorn ears were found in New Mexico’s Bat Cave and are thought to have been used by the Ancestral Puebloan peoples about 5,600 years ago. According to archaeological discoveries, popcorn was also used in ceremonies and probably consumed in Peru circa 4700 BCE. Popcorn was used as ornaments for deity sculptures and as decorations for ceremonial headdresses in ancient societies, especially the Aztecs. Early European explorers also recorded Native American tribes, including the Iroquois, using hot sand to pop maize.”

Popcorn GST Row: The GST Council, chaired by finance minister Nirmala Sitharaman, announced on December 21, 2024, that popcorn will be taxed differently Popcorn GST Row: The GST Council, chaired by finance minister Nirmala Sitharaman, announced on December 21, 2024, that popcorn will be taxed differently (File)

Although popcorn’s arrival in India is poorly documented, she says, it most likely happened during the colonial era when maize production, which originated in the Americas, spread. According to historical records, popcorn gained popularity in the 19th century in a number of regions, including Europe and Asia. “Popcorn’s popularity increased as international trade increased because of its many uses as a snack. Due to the influence of Western culture and films, popcorn became a popular snack in Indian homes and movie theatres by the late 20th century,” states Malhotra. 

Popcorn’s transition from being a staple food in ancient cultures to a popular snack

In the 19th century, popcorn became a popular snack after being a staple diet in ancient cultures. “Native Americans were the first to eat it, but in the Victorian era, it gained popularity and was sold by street sellers in cities,” notes Malhotra, adding that popcorn became popular as a snack food in the 1890s because it was inexpensive. 

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Early in the 20th century, she states, it became quite popular at movie theatres, and the smell of freshly popped corn began to be associated with viewing movies. Later 20th-century inventions like microwave popcorn cemented popcorn’s position as a popular and practical snack across the globe.

How caramel popcorn came into the picture

Malhotra attributes German immigrants Frederick and Louis Rueckheim to creating caramel popcorn in the 1870s after they moved to Chicago. “After some popcorn and candy-making experiments, they came up with a popcorn, peanut, and molasses mixture. This novel combination became well-known, particularly after it was displayed at the Columbian Exposition in 1893.” 

After a happy client praised the treat while tasting it, the word ‘Cracker Jack,’ which means ‘excellent,’ came to be connected with their product. The popularity and commercialisation of caramel popcorn in America can be attributed to both scientific developments in candy-making and cultural elements, such as the emergence of street sellers and fairs.


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