JAMMU, Dec 28: Jammu based Wholesale Cloth Merchants Association expressed resentment against the hike in rate of GST from 5 to 12 per cent by the Central Government GST Council, terming it as a big “blow and blunder” to the textile industries.
A working committee meeting of Wholesale Cloth Merchants Association was held here today in K C Residency under the presidentship of Raghbir Gupta. Several important issues were discussed threadbare in the meeting especially the issue to increase rate of GST from 5% to 12% on cloth by the GST Council.
The members presented in the meeting unanimously and with one voice condemned the increase of GST rate.
Raghbir Gupta said time and again, respective Governments were pressing the trade and industry by imposing taxes in one form or the other. GST on garment, textiles and footwear was increased earlier from 0 per cent to 5 per cent and now, from January 1, it was going to be increased to 12 per cent, which will ruin the businesses, he said, adding that the corporate houses were promoted to finish the small industries.
Gupta said the textile and handloom sectors were providing highest employment in the country after the agriculture sector. Instead of extending incentives and required support to these sectors, the Government was adamant to finish them, he said.
Gupta asserted that the traders and manufacturers were not happy when 5 per cent GST was imposed, now, further 7 per cent increase would cripple the industry.
The Association members appealed to the Union Finance Minister to repeal the order to relive the trading fraternity and it has also extra load to public which is already facing many hardship due to high inflation.