Union Agriculture Minister Shivraj Singh Chouhan on Saturday welcomed the recent GST reforms, stating that the government’s key objective is to reduce agricultural production costs and increase output, thereby directly benefiting farmers.
Speaking at a press conference in Bhopal, Chouhan underlined that the NDA government, led by Prime Minister Narendra Modi, has consistently worked to improve the lives of ordinary citizens through progressive tax reforms.
“Our aim is to reduce the cost of production in farming and increase production. The farmers of the country will get a big benefit from the GST reforms,” he said.
Chouhan also highlighted the role of women’s self-help groups (SHGs) in strengthening rural economies, noting that their contributions in handicrafts, dairy products, leather goods, and handmade items have created thousands of “Lakhpati Didis.”
Earlier this week, the 56th GST Council meeting decided to simplify the tax structure by merging the 12% and 28% slabs into a two-tier system of 5% and 18%, with a 40% slab reserved for luxury and sin goods.
- 5% slab: Essential goods such as food items, utensils, agricultural equipment, handicrafts, and medical kits.
- 18% slab: Standard rate covering automobiles, electronics, household goods, and professional services.
- 40% slab: Luxury and sin goods like tobacco, pan masala, sugary drinks, yachts, luxury cars, and high-end motorcycles.
Additionally, health and education services, along with certain types of insurance, remain GST-exempt.
Chouhan stressed that these reforms, in line with PM Modi’s vision of “next-generation GST changes,” will provide “great relief to the people” and especially empower farmers and rural communities.