Excelsior Correspondent
JAMMU, Sept 4: Various Trade and Industries organizations have expressed that cut on the GST rates of essential commodities will have positive impact and also boost the Indian economy.
Chamber of Commerce & Industry, Jammu highlightrf various positive impacts of recent GST changes attributing them to efforts by Prime Minister of India and the Finance Minister.
Chamber president A K Gupta said the introduction of a two tier GST structures aims to remove structural anomalies, reduce costs, boost demand and sustain jobs. This is expected to benefit the farmers, common citizens, women, youth and improve the Ease of Doing Business, while lowering the lax burden. Exemption of GST on individual health insurance will benefit many people. Similarly exemption of GST on stationery items like exercise note book, map chart, globes, pencils and crayons is a step towards affordable education.
Reduction of GST to 5% on agriculture related items will not only benefit farmers but also boost agriculture production, besides strengthening the food safety. And slashing of GST on a wide range of household items like air conditions, television and dishwashing machines is a landmark decision. Reduction of GST on cement renewable energy devices, construction material will boost housing and infrastructure development which will be a big step towards housing for all. Moreover, cut on GST rates from 28% to 18% on three wheelers, Motor-cycle for transport of goods, petrol and petrol hybrid, LPG CNG cess, diesel, diesel hybrid card (Not exceeding 1500 cc & 4000mm) is a welcome step as it will make the automobiles cheaper and affordable even for the people with low income.
Similarly exempting the GST on items of consumption of common people like Khakhra, Plain Chapati, Roti, Prantha, Paneer prepacked and labeled , Pizza Bread, (UTH) Milk, Indian bread called by any name will be great relief to the common man. Reducing GST from 12% to 5% on preserved vegetables, fruits, nuts etc will encourage investment in food processing sectors besides it will reduce wastage of perishables and will help farmers to realize better prices.
Association of Industries Gangyal in a meeting held under the Chairmanship of its president Virendra Jain expressed satisfaction ocer the reduction in the GST rates by the Union Fimnance minister,.
Jain said reduction in GST rates on essential items will undoubtedly have a positive ripple effect on the lives of millions of Indians, providing them with much needed relief and boosting their purchasing power.
He added that despite the recent GST rate cuts our sector continues to grapple with the high GST rate of 18% on Ferrous/Non-Ferrous/Plastic/ Paper scrap and certain raw materials, which is detrimental to our growth and profitability. It is worthwhile to mention that high rate of GST on scrap is leading to tax theft.
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Specifically, we would like to highlight the anomaly in GST rates for certain items such as Utensils (finished goods)-5% GST, Aluminium Circles (raw material)-18% GST, Cricket Bats (finished goods)-5% GST, Willow Cleft (raw material)-18%. This anomaly is causing significant hardship to our industry, as we are unable to claim reimbursement of SGST due to the higher GST rate on raw materials compared to the finished goods, he added.
Traders Federation Ware House Nehru Market, Jammu, in a meeting held under the presidentship of Deepak Gupta in Federation office today lauded he Union Government and GST Council’s historic decision to simplify GST by reducing the existing four slabs into just two, 5% and 18% slabs.
Gupta said this rationalization will make essential commodities like food items, medicines, books, garments, and household necessities available at affordable prices for the common man, while consumer durables, Electronic appliances, Cement and premium goods will fall under 18%.
Exemption of GST on individual health insurance will benefit many people. Similarly exemption of GST on stationery items like note book, map chart, globes, pencils and crayons is a step towards affordable education. Reduction of GST to 5% on agriculture related items will not only benefit farmers but also boost agriculture production, besides strengthening the food safety. The slashing of GST on a wide range of household items like air conditions, television and dishwashing machines is a landmark decision. He said this step will ease compliance for traders and boost business confidence.
He further said that reduction of GST on cement, renewable energy devices, construction material will boost housing and infrastructure development which will be a big step towards housing for all.
National Board Member of the National Traders Welfare Board, Ministry of Commerce and Industry, Govt. of India, and National President of FTII, Sanjay Bansal said that reforms with respect to GST reforms are poised to significantly enhance the Indian economy and increase the buying capacity of the common man.
The implementation of GST-2 is expected to streamline the taxation system, reduce compliance burdens, and promote economic growth. By simplifying the tax structure and minimizing exemptions, GST-2 will benefit businesses, especially small and medium enterprises, by reducing their tax liabilities and increasing their competitiveness. The reforms will also lead to increased transparency and accountability in tax collection, which will help to reduce corruption and promote a more business-friendly environment, he added.
Chairman of the Indian Chamber of Commerce (ICC) Jammu, Rahul Sahai the GST reforms will bring relief to the common man as the prices of several daily-use items, medicines, televisions, cars, and festive season products will come down. With Diwali approaching, this is indeed a very good and people-friendly step by the Government of India.
He projected the specific concern for Jammu & Kashmir, stating that the UT may face an estimated revenue loss of around Rs 1000 crores (Approx) annually as a result of these reforms. “J&K is already a revenue-deficit state, and this reduction may further widen the gap. However, we remain hopeful that increased consumption in our state will help bridge the revenue shortfall and bring us closer to last year’s figures,” Sahai added.
Calling the reforms a balanced and positive move, Sahai further added, “A lot of essential items including medicines becoming cheaper is a welcome relief for citizens. We are also waiting for the fine print of the reforms, which are expected to be implemented later this month.”
BJP Professional Cell of J&K Unit, headed by Convenor CA Deepak Kapahi under the leadership/ guidance of of Sat Sharma (CA) and Ved Sharma along with fellow members- Dr V S Sambyal, Amit Gupta, Kuldip Singh and others convened a meeting today to appreciate the transformative recommendations from the 56th GST Council meeting held on September 3, 2025, under the chairpersonship of Union Finance Minister Nirmala Sitharaman.
The members unanimously appreciated the GST Council’s decisions for providing substantial relief to the common man, individuals, and the aspirational middle class through significant reductions in GST rates on essential goods and services. Key highlights include slashing rates on dairy products like UHT milk, butter, cheese, and paneer; fruits, nuts, and dried fruits; cereals and confectionery; medicines and drugs for rare diseases; household items such as soaps, toothpaste, and footwear; and various handicrafts and textiles.
Among others present in the meeting were Ritesh Gupta, Satish Kumar Gupta, Jitesh Arora, Munish Heer, Ajay Jamwal and other members of Professional cell.
Former minister and BJP vice president for J&K unit Priya Sethi today lauded Prime Minister Modi for steering the country towards what she described as “the most people-friendly GST reform since its inception.” She said the decisions taken by the GST Council will provide massive relief to households, industries, and farmers alike.
“These reforms reflect the Prime Minister’s vision of making taxation simpler, fairer and truly beneficial for the common citizen,” Sethi said, while addressing mediapersons in Jammu. “From reducing GST on everyday essentials like paneer, xhapati, khakra, soaps, shampoos, toothpaste and kitchenware, to giving exemptions on life and health insurance policies, this reform covers every section of society,” she added.
The Kashmir Chamber of Commerce and Industry (KCC&I) today welcomed the GST Council’s decision to cut taxes on handicrafts, hotel rooms, and common-use items, calling it a major relief for the region’s economy.
KCC&I president Javid Ahmad Tenga said the decision fulfills a long-standing demand. “We had raised this issue with Union Commerce Minister Piyush Goyal and submitted a detailed representation to Union Finance Minister Nirmala Sitharaman. Today’s approval is a landmark decision for Kashmir’s handicraft sector,” he said.
He added that the sector employs thousands of artisans, weavers, and craftsmen, many from economically weaker backgrounds. “Lower GST will make their products more competitive nationally and internationally, safeguard cultural heritage, and provide livelihood security,” Tenga said.
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