07 October 2021, Mumbai:
The Kerala garment and textile industry has opposed the proposed GST hike on readymade garments and fabrics from 5 per cent to 12 per cent from January 2022. John Thomas Mundacal, State Vice President, Kerala Textile and Garment Welfare Association says the GST hike is likely to increase production cost from 10 to 30 per cent. He urged the Central and state governments to withdraw the tax. Kerala's textile industry is still enduring heavy losses even after the reopening of businesses after almost a year of complete shutdown due to subsequent waves of COVID-19.
Shop owners in Kottayam are finding it difficult to meet even basic expenditures like salaries, electricity bills, and rent. Local business owners also complained that buyers are buying things online instead of visiting physical stores due to the fear of COVID-19.
