Bhubaneswar, Sep 4 (IANS) Chief Minister Mohan Charan Majhi on Thursday said that Odisha will majorly benefit from the reforms in the Goods and Services Tax (GST) announced during the 56th GST council meeting held in New Delhi.
Speaking to media persons, CM Majhi said, as promised by Prime Minister Narendra Modi in his 79th Independence Day speech, the GST reforms will come into effect from September 22, the start of the Navaratri festivals.
Calling the GST reforms announced on Wednesday a landmark decision, he asserted that India is surely on its way to becoming a Viksit Bharat with these massive economic reforms, and that Odisha will play a major role in it.
“The GST on Kendu leaves has been reduced from the earlier 18 per cent to 5 per cent. This is surely very good news for us, as Odisha is among the five to six major Kendu leaf-producing states in the country. This will boost the income of the Kendu leaf pluckers of Odisha. The sale of Kendu leaves will also increase. The traders engaged in the trade of Kendu Leaves will offer more incentives to pluckers. This will help in providing them a better livelihood,” said CM Majhi.
He said that the stakeholders have long been demanding a reduction in the GST on the Kendu leaves trade, which was finally addressed during the GST council meeting.
The Chief Minister also noted that Odisha’s revenue income from the coal sector will significantly increase following the rationalisation of GST and the end of compensation cess on coal.
Highlighting the benefits to the agriculture sector, Chief Minister Majhi said that the reduction of GST on farm machinery and fertilisers will lower the input cost, thereby benefiting farmers in the state.
Chief Minister Majhi also emphasised that the recent GST reforms would provide substantial relief to middle- and lower-middle-class families of the state.
He said that daily-use items, cement, two-wheelers, etc., will get cheaper due to the GST reforms, bringing relief to the middle-income people. He noted that the exemption of GST on health insurance premiums is likely to encourage more people to secure insurance coverage.
–IANS
gyan/dpb