Chennai, 22 September (IANS) PMK leader Dr. The Antabumani Ramdos has accused the Tamil Nadu government of exploiting the poor by refusing to reduce the prices of Evin dairy products despite the lack of the Center on milk-based goods and service tax (GST).
In a post on his X handle, Dr. Ramdos said that while both public and private sector dairy consumers across the country have passed the benefits of GST deductions, the state-run dairy federations of Evin-Tamil Nadu have continued to sell products at high rates.
He called the move “condemnable and exploitative”. Ramdos explained that Pouch Milk has never been brought under GST. However, 12 percent GST was imposed on other milk-based products such as cheese, ghee, butter, taste milk and ice cream.
With the latest reforms, the tax rate on these products is reduced by up to 5 percent. As a result, Amul from Gujarat, Nandini of Karnataka, and several private players announced a price cut from Rs 25 to Rs 40 in their product lines.
“Amul has reduced the prices of more than 700 products, while Nandini has reduced rates for more than 15 goods. Even private companies have cut prices on many products. Nevertheless, Aavin has chosen not to reduce its prices. Instead, after this, after keeping the retail price unchanged after GST, it has increased from the effective form of its produce.”
The PMK leader said that it has increased a hidden price, making poor and middle class consumers who depend on AAVIN products. He reminded that AAVIN has already increased prices four times when DMK came to power.
Citing an example, he said that in March 2022, the price of one kilogram of ghee, which was Rs 515, has now increased by Rs 700 – a standing 36 percent has increased.
“Even private dairies have not increased prices so aggressively in such a short period. When GST was introduced, Aavin has immediately increased prices. Now that the tax has reduced, the government should cut prices without delay,” he said.
Ramdos urged the Government of Tamil Nadu to stop “exploit consumers for profit” and ensured that the benefits of GST reforms were passed to the people.
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Aal/DPB