When handing over a memorandum to the finance minister of each state, traders will demand the withdrawal of this decision: Subhash Agarwala
Bengal Mirror, Sanjeev Yadav: , GST in packaged food products ) The Ministers of Finance of all the states of the country are directly responsible for providing food grains, butter, curd, lassi, etc. on the 5 percent tax slab, set by the GST Council from June 28 to 29, because that decision was unanimous. taken by the GST Council. The Confederation of All Traders of India (CAIT) and other food organizations have said that this decision will increase the trade of big brands against small manufacturers and traders and the goods used by the common people. Special food items, cereals, etc. . they were exempt from the GST if so far they did not have the mark. With this decision by the city council, pre-packaged and pre-labeled items have now been incorporated into the scope of the GST. In this regard, statewide organizations of cereals, pulses and other products from different states of the country have started the process of convening conferences of traders of their respective states and are mobilizing.
On this issue, yesterday evening, the National Secretary General of the Confederation of All Traders of India (CAT), Shri Praveen Khandelwal, met with the Minister of Defense of the Union, Shri Rajnath Singh, informed him of the situation and urged that at present this decision should not be applied and no one else. Interested traders should also be consulted prior to issuing the notice. Shri Rajnath Singh has assured to hold talks with Finance Minister Smt. Nirmala Sitharaman in this regard. The CAT delegation will soon meet with Union Finance Minister Nirmala Sitharaman, Trade Minister Shri Piyush Goyal, and other Union ministers on the issue and urge them to keep the decision pending.
Mr. Bhartia and Mr. Khandelwal said that on this issue, grain mills, pulses and other traders ’organizations of all states will hand over a memorandum to the finance ministers of their respective states and urge them to withdraw this decision. It is very unfortunate that all states approved it unanimously at the GST Council meeting. It seems that none of the finance ministers has considered how traders from small towns and other places will be able to comply with this decision and how the economic burden of this decision will fall on ordinary people. It is also unfortunate that no business organization in the country has been consulted in this regard. Only 15 percent of the country’s population uses branded products, while 85 percent of the population lives on unbranded or unbranded products. Bringing these items to the GST tax slab is an unfair move, which should be recovered by the city council and the decision should not be notified as immediate relief.
Mr. Bhartia and Mr. Khandelwal said that the collection of GST tax should definitely be increased, but instead of bringing the goods of the common people to the tax slab, the tax network should be expanded, so those who have not been subjected to the The tax network should still be incorporated into the tax network, which will increase the revenue of the central and state government. He said there has never been any tax on cereal food since independence, but for the first time big-brand foodstuffs were incorporated into the tax network. He said the government’s intention has always been to keep the daily needs of ordinary people out of taxes and keep their prices low. What was the reason why then Finance Minister Shri Arun Jaitley kept these commodities tax free in 2017 and what has happened now that these commodities have to be taxed!
Business leaders said that at first glance the farmer also seems affected by this decision, because if the farmer also carries his harvest in sacks, the council has not clarified whether the GST will also be applied. He also said the Food Standards and Safety Act requires marking and writing other important information on each package. Even if someone wants to sell any unbranded product, they cannot sell it and as soon as the brand is applied, it falls within the scope of the GST.
Under that decision, now if a grocery store also sells packaged foods with any brand just for the identification of your item, you will have to pay GST on that food. Following this decision, agricultural products with pre-packaged labels such as paneer, buttermilk, packaged cottage cheese, wheat flour, other cereals, honey, papad, food cereals, meat and fish (except frozen), puffed rice and jaggery, etc. These elements are used by the common man of the country.