Bhopal (Madhya Pradesh): Madhya Pradesh Thok Kapada Vyapari Association will convene a meeting on Monday to discuss staging protest over Centre’s notification to impose 12 per cent GST on several textile and apparel items from January next year. The existing GST is 5 per cent.
The Association stated that Centre’s move will adversely affect consumers and manufacturers. The notification has come as a blow to micro, small and medium textile and clothing units. The Association members said union government’s decision will push up prices and spur inflation.
Association (Bhopal unit) president Kanhaiya Lal Israni said, “We are holding talks with textile traders association in various districts. On Monday, we will convene meeting to finalise blue print of protest.”
The MSME units that make low-cost garments may suffer from drop in demand. In the long run, many units in the unorganised sector may move out of GST net,” he remarked, adding, “The move will lead to higher prices for the end consumer at a time when high raw material costs had already impacted prices.”
Almost 90 per cent of fabric production in the country was in the unorganised sector. Increasing the rate to 12 per cent for fabrics would hit the power loom and handloom weavers.
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Published on: Sunday, November 21, 2021, 09:42 PM IST
