The impact per order is expected to be modest but significant at scale. It is expected to be around Rs 2 for Zomato and Rs 2.6 for Swiggy. "For Zomato, the food delivery services had a customer delivery fee of Rs 11-12 in our calculations, which would imply a potential impact of Rs 2 per order," multinational investment bank Morgan Stanley said. "For Swiggy, we estimate the delivery fee to be approx Rs 14.5 per order and hence the potential impact to be Rs 2.6," it added. Due to lower average delivery fees of around Rs 4, Swiggy's Instamart is probably going to experience a smaller hit of Rs 0.8 per order. Blinkit, Zomato's quick commerce platform, may reportedly remain largely insulated since its delivery charges were already included in revenues and subject to GST. The government's decision, effective from September 22, closes what officials described as a loophole. Until now, companies have avoided GST by classifying delivery fees as pass-through expenses instead of revenue. The notification removes this distinction and requires platforms to pay 18% GST on delivery fees. The timing of this is important. These grocery and food delivery services are preparing for the festive season in India. To increase profits, these companies have already implemented multiple charges, including higher platform fees, surge pricing, rain fees and long-distance delivery fees. Swiggy and Zomato have also increased platform fees in many cities recently. Zomato charges Rs 12 for each order, while Swiggy charges Rs 15. Even a modest rise in fees can result in large amounts for these companies. Considering that Zomato and Swiggy together handle about five million food orders every day, an increase of Rs 2 to Rs 3 per order may result in crores of extra revenue for the companies.