Rice and flour millers in Karnataka observed a one-day strike on Friday against the proposal to remove Goods and Service Tax (GST) exemptions on unbranded and unpackaged food items. The millers have threatened to go on indefinite strike if the tax is not withdrawn.
The 42nd GST Council has proposed a 5% tax on these items, which were previously exempted from GST, as well as sales tax and value-added tax (VAT) in the pre-GST tax regime. The new GST rate is to be implemented from July 18.
At a press conference here on Friday, representatives of the millers and traders associations said the new tax would have a cascading effect on the food industry which would ultimately hurt everybody, including farmers.
— source newsclick.in | Nikhil Cariappa | 15 Jul 2022