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Sweets and namkeen makers ask for GST reduction to 5% citing jobs, margins

In its note, the federation said that these changes would reduce litigation, stabilise margins, boost employment and align with India's ambition of becoming a global food hub

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The plea also added that restaurant services attract 5 per cent GST with ITC and showroom sales fall under 5 per cent, 12 per cent and 18 per cent with ITC. | File Image

Sharleen Dsouza Mumbai

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Federation of Sweets & Namkeen Manufacturers have asked for a reduction in GST on namkeen from 12 per cent to 5 per cent, and also asked the government to allow sweet shops selling chaat and other food items to be taxed at 5 per cent with input tax credit (ITC). 
In its note, the federation said that these changes would reduce litigation, stabilise margins, boost employment and align with India’s ambition of becoming a global food hub, pointing out that food items are scattered across all the current GST slabs.
 
“Malabari Paratha is taxed at 18 per cent, while roti/chapati