You are here: Home » Economy & Policy » News » GST
Business Standard

GST regime: Worried about 28% tax, granite industry calls for lower rate

An industry body demands a 12% rate for labour-intensive sector

Press Trust of India  |  New Delhi 

Photo: Shutterstock
Photo: Shutterstock

The Industry on Thursday urged the government to lower the (GST) rate of 28 per cent on polished slabs as higher taxes would impact the labour- intensive sector.

According to JIGANI Industries Owners Welfare Association, prices would go up after the implementation of 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 roll-out, it said in a statement.

"The 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.

First Published: Thu, June 15 2017. 13:59 IST