GST ROLLOUT: 50 KG FERTILIZER BAG TO NOW COST RS
295.47 ACROSS INDIA
The government decided
to reduce the GST rate of
fertilizers from the existing
12 percent to 5 percent. This
decision it said was primarily
taken in the interests of the
farmers. The government has
also taken up with the industry
to pass on the benefit to the
farmers.
Government claims that farmers would benefit to the tune
of Rs 1261 crores under GST regime. Under the new GST
rates announced by the Council, average weighted MRP
will decrease to Rs 5909/ Ton (or Rs 295.47/ 50kg bag)
as compared to the existing All India weighted Average of
Rs 5923/ Ton (or Rs 296.18/50 kg bag). The GST regime,
apart from integrating the entire fertilizer market into a single
market, will also deter inter-state smuggling of fertilizers
which may be currently happening due to differing levels of
taxes and consequently MRPs in different adjoining states.
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BioVoiceNews | July 2017