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The Hindu
The Hindu
National
Staff Reporter

Traders in Kerala plan protests against 5% GST on repacked food

The Confederation of All India Traders (CAIT) Kerala unit committee has decided to become part of the nationwide protest against the decision to impose 5% Goods and Services Tax (GST) on re-packed foods such as wheat and other cereals, dried leguminous vegetables, curd, buttermilk, and so on from July 18.

Since the implementation of the GST, only branded food was taxed. However, the 47th GST Council decided to levy 5% GST on repacked and relabelled food. As 85% of the consumers use repacked and relabelled food, taxing it would severely affect the common man, and lead to price rise, a meeting of the CAIT State committee said.

Not taxed ever

The GST council move would tie up small-time and medium traders into GST legal tangles. Even before Independence and in the 75 years since, no tax was levied on repacked and relabelled food. Nor was it imposed on dairy products such as milk, curd, buttermilk, or lassi. The decision to impose 5% GST on all these, except milk, will make it difficult for dairy farmers and small dairy farms to survive.

The CAIT State unit committee had convened a meeting of traders’ organisations in sectors that require repacking and relabelling. The meeting decided to organise widespread awareness programmes against the council’s “anti-people” decision and implement the decisions of the CAIT national committee on this matter. Posters against the GST levy would be pasted on all trade and commercial establishments across the State that would be the first to suffer owing to the council’s decision. Further protests would be planned in association with consumer organisations.

July 18, the date on which the GST council meets, would be organised as ‘black day.’

CAIT State unit president P. Venkitarama Iyer presided over the meeting. CAIT national secretary and State secretary general S.S. Manoj presented to national committee’s directions at the meeting.

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