Post-GST effect: Pay more for medicated skin care products

Mohit Khanna

Advertisement

Tribune News Service

Chandigarh, July 3

Not only lipsticks and premium cosmetics, medicated creams and medical skin care products have also fallen in the tax bracket of 28 per cent following the implementation the GST.

“The move has led to a a spurt in the sale of medicated skin care products,” said Vijay Anand, president, Chandigarh Chemists’ Association. He demanded that the government should revise the tax slab on medicated skin care products.

“For arguments sake, one can justify 28 per cent of tax on beauty products but imposing the same tax on medicated products and cream is not justified. These are medicines and prescribed by dermatologists. Patients use these products for the cure of skin ailments. The rise in the price of these products is not justified,” said Anand.

Anand said customers were stacking skin care medicines of old stock as new stock of medicines with revised prices has not arrived in the market.

Vijay Jain, general secretary of the Chandigarh Chemists Association, said that there was a panic buying even before the implementation of the Goods and Services Tax.

The essential drugs, like those used for malaria, HIV, tuberculosis and diabetes, fall in the 5 per cent bracket while a majority of the other drugs are in the 12 per cent bracket.

“The cost of insulin, which is used by diabetic type 1 patients will to come down,” said Jain.

A majority of the customers visiting Amrit Pharmacy said they had decided to visit the government pharmacy after chemists refused to offer discount on medicines.

Earlier, chemists used to offer 10 to 15 per cent discounts on MRP but ever since the implementation of the GST, they have refused to do so.

Vijay Anand, while confirming the development, said,” Right now, we are also not sure about the new system. So ,we are not in position to offer discounts.”