Cement Manufacturers Association (CMA) today said the highest tax slab of 28 per cent under GST has missed out on an opportunity to spur growth of the struggling cement and housing segment
Accordin.g to the CMA president Shailendra Chouksey, "On a 50 kg bag of cement costing Rs 300, Rs 180 is tax plus cost of logistics. This is also an industry which is very capital intensive with low margins. GST was an opportunity to provide relief to the industry but has been missed."
He further added, "While the industry is ailing, a lower tax rate on cement would have reduced prices which in turn could have benefited the housing segment -- the biggest consumer"
"Presently, housing for all is a big ticket item for the government and by reducing prices of cement a signal would have gone that it cares for the people," Chouksey said.
Also Read:
Ashwani Gujral suggests buying of Chambal Fertilisers, Tata Steel, DCB Bank, HPCL
Surendra Goyal: GST rates negative for beverage, paint sector
