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Farmers want roll back of 5% GST on raw tobacco

The association has requested to be treated on 'par with other agricultural crops'

Press Trust of India  |  New Delhi 

GST, meet, Arun Jaitley, Hasmukh Adhia, council,  Jaitley, Hasmukh, Adhia, Arun
Hasmukh Adhia and Arun Jaitley

A farmers' association has asked the to roll back 5 per cent on raw and exempt it from the bracket like any other agricultural crop.

Fearing drop in prices of leaves and raw post GST, tobacco farmers across have stalled auctions in all platforms, said the Federation of All Farmer Associations (FAIFA) in a statement.

Terming the rate on tobacco "unrealistic", farmers said it will severely endanger their livelihoods and asked the to do away with it in the upcoming GST-Review meeting on June 18.

"Farmers from different auction platforms in the Southern Black Soil (SBS) region decided not to bring our produce to the market to protest 5 per cent on tobacco leaves and 28 per cent on unmanufactured tobacco," said FAIFA Vice-President Gadde Seshagiri Rao.

According to FAIFA, and unmanufactured tobacco were exempted from the central excise from the time of considering their difficulties.

The association has requested to "maintain status quo" in this regard by treating tobacco "on par with other agricultural crops".

FAIFA claims to represent farmers of commercial crops from Andhra Pradesh, Telangana, Karnataka, Gujarat etc.

First Published: Tue, June 13 2017. 14:40 IST