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The Granite Industry on Thursday urged the government to lower the goods and services tax (GST) rate of 28 per cent on granite polished slabs as higher taxes would impact the labour- intensive sector. According to JIGANI Granite Industries Owners Welfare Association, prices would go up after the implementation of GST from July 1. The industry has cut down the production by about 50 per cent in May and June, anticipating lower granite demand with rise in price for end user post the GST roll-out, it said in a statement. "The GST Council has announced a tax of 28 per cent on granite polished slabs, which was earlier 14.5 per cent," the association said. Granite sector is a labour intensive sector and employs over 75,000 people directly and indirectly in and around Jigani and Bangalore area, it said. "We request the government to lower the rate of GST to flat 12 per cent on granite slab products," it said. Spokesperson Lalit Rathi said the majority of factories are of small scale and several granite units are already struggling to sustain operations following the decline in exports due to a global slowdown and demonetisation.