Textiles ministry to approach GST Secretariat for restoration to 5% rate, Retail News, ET Retail

Union Ministry of Textiles, after acquiring inputs from sector associations, has now determined to solution the GST secretariat searching for restoration of the charge of Goods and Companies Tax (GST) to 5 p.c , CNBC-Tv set18 documented.

“The sector is of the view that textile cloth producers or material weavers will see a major rise in their working money prerequisites because of to the disparity, as raw material will be taxed at 5 per cent and the concluded merchandise will be taxed at 12 %. So, they are looking for a restoration of the outdated charge of percent,” the source was quoted as stating by the report.

Officials advised that, “The textiles ministry is opposed to the rate hike and feels that the field requires aid. Any selection which provides to their difficulties desires to be flagged. So, our communication to the GST secretariat is extremely very clear — retain standing quo on costs and make any transform only following a thorough discussion with the ministry and the sector stakeholders”.

The market has been clamoring for a reversal as it feels the transfer will make its products and solutions costlier, which will impact the sale.

Earlier this thirty day period, Raymond Team CFO Amit Agarwal advised ETCFO that gst charge hike will prevent desire, and that the business has strategies to go on the full boost.