Businessmen welcome reduction in GST on common-use items

The Kashmir Chamber of Commerce and Industry (KCC&I) on Thursday welcomed decisions taken at the GST Council meeting held on Wednesday, particularly the reduction of tax rates on common-use items, handicrafts, and hotel rooms. A statement by the chamber described the move as a positive step, especially for the Kashmir region which has been facing economic challenges.

The KCC&I president, Javid Ahmad Tenga, while reacting to the development, said, “This is indeed a landmark decision and a matter of great relief for us.”

“The Kashmir Chamber of Commerce and Industry has consistently advocated for the reduction of the GST on handicrafts and other essential items, as higher taxation has proven detrimental to our economy,” Tenga said.

He said the chamber had raised this issue with the Union Minister of Commerce and Industry, Piyush Goyal, during interaction with him at the Sher-e-Kashmir International Convention Centre (SKICC) in July.

“We later submitted a detailed representation to Union Finance Minister Nirmala Sitharaman, seeking a reduction of the GST rates from 12 per cent to 5 per cent. Yesterday’s approval by the GST Council is, therefore, the fulfilment of a long-pending demand which the chamber has been pursuing with sincerity and persistence,” he said.

Tenga further said, “The handicraft sector of Kashmir is unique and labour-intensive, employing lakhs of artisans, weavers and craftsmen, many of whom come from economically weaker sections.”

“A reduction in the GST will directly benefit them by making their products more competitive in both national and international markets,” he said.

The KCC&I has expressed hope that these measures would provide much-needed relief to businesses and consumers alike and contribute to strengthening the economy of Jammu and Kashmir. Meanwhile, welcoming the Goods and Services Tax (GST) reforms announced by the Central Government, BJP’s Jammu and Kashmir spokesman Altaf Thakur on Thursday said, “The decisions reflect Prime Minister Narendra Modi’s “vision of a people-centric economy.” — OC