GST may lead to increase in man-made yarn prices

At the current rate of taxation, tax on yarn works out to approximately Rs 0.70 to Rs 0.80 per kilogram. As per the GST rate structure, tax would work out to Rs 2.5 to Rs 5 per kilogram, which will result in increase in yarn prices, textile entrepreneurs said on the sidelines of a seminar in the city.

The seminar on ‘Impact and Implementation of GST in Textiles’ was organised by the Southern Gujarat Chamber of Commerce and Industry (SGCCI).

Entrepreneurs also said that the GST slabs would create confusion among man-made fibre industry in getting input tax credit. (RKS)

ALCHEMPro News Desk – India