A $30 million-a-year tax on tampons and other female sanitary products has been abolished by state and federal governments.

Treasurers from NSW, Victoria and all the other states and territories unanimously agreed to federal Treasurer Josh Frydenberg's proposal on Wednesday, killing off the 10 per cent luxury levy on the products.

The decision comes after more than a decade of campaigning from women's groups against the GST being applied to tampons and sanitary pads, which they have long argued are essential and should therefore be exempt from the tax.

Condoms and lubricant are not subject to the GST.