After the GST Council cut rate of as many as 178 items to be now having a lower tax implication of 18% as against the earlier higher GST rate of 28%, price cuts for the end consumer shall be apparent from today going forward.
The rate cut effective midnight shall buy you your daily use items at a lower cost from chocolates to toiletries to electrical equipment. Some of the companies have already confirmed passing lower rate benefits to consumer.
Industries across the board shall be bringing the rate cut to the table with lower prices for the end customer. Tile maker Kajaria Ceramics to a TV channel said with effect from today the company will slash rates by 8-9% on ceramics and tile products. Also, reduce the differential between branded and non-branded products. The company with an aggressive and positive outlook reiterates that it expects a double digital growth in volume going forward. On its business plans the company says it shall invest more on new product launches as well as branding.
Also, dining at a restaurant irrespective of AC facility can now be a experienced at a lower rate of 5%.
So, the lower rates for businesses and hence lower price for consumers is expected to boost the sentiment of the economy with more consumption.