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Clothing Manufacturers Association raises concerns regarding GST rates proposal
The Statesman
|December 06, 2024
The Clothing Manufacturers Association of India (CMAI) has raised concerns regarding the rate-rationalisation proposal put forward by the Group of Ministers (GoM) that includes significant changes to GST rates for the apparel sector.
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As per the new recommendations, ready-made garments priced up to Rs 1,500 will retain the 5% GST rate, but those priced between Rs 1,500 and Rs 10,000 will see a significant increase to 18%.
Garments above Rs 10,000 are proposed to fall under the highest GST bracket of 28%.
CMAI has expressed deep concerns regarding the potential adverse effects of these changes on the apparel industry, particularly the impacts on manufacturing, pricing, and consumer demand.
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