5 days on, GST relief still a no show, shoppers fume

SHWETA KAMAT MAHATME | 3 hours ago

PANAJI

Five days after the revised tax slabs came into force, grocery shoppers are up in arms after several retailers are yet to pass on the benefits of the recent GST rate cut. 

Essential commodities such as bread, oil, milk, and paneer continue to be sold at unchanged prices, leaving the common man bearing the brunt. In contrast, retailers are quick to mark up prices of so-called ‘sin goods’, which attract a steep 40 per cent GST, adding to public outrage.

After a round in several grocery stores and super markets in the city, it was noticed that the prices of crucial dairy items, bread, biscuits, snacks, sauces have remained unchanged even though the GST has been slashed to five per cent from the earlier 12 and 18 per cent slab. However, some bigger super markets have already started offering items at lower prices.

It has largely been the same story for medicines and even stationery items, many of which have been brought to the 5 per cent and nil slab.

On the other hand, the automobile sector along with leading appliance makers have started passing on benefits to consumers on purchase of cars, TVs, washing machines, dishwashers,  air conditioners etc. Even the branded garment stores are extending benefits on clothes purchased below Rs 2500, as anything above that attracts 18 per cent GST from previous 12 per cent.

During conversation with the city retailers, The Goan learnt that they had two excuses, not to offer benefit -- one, bumper old stock that cannot be sold at revised rates; and two, confusion as distributors have not provided them the reduced rate. In some stores, salespersons are not even aware about the GST cut.

“On Thursday, I purchased some dairy items like cheese, paneer, and milk from my daily super store. But when I checked the bill, I was surprised as there was no rate cut. When I asked, he told me that old rates will continue till we finish the existing supply. I was forced to pay the same price,” Anjani Naik, a banker from Panaji said.

Another retired government servant expressed a similar view with regards to milk. He said even after the GST cut, he is paying the same amount to his vendor on purchase of one litre Amul milk. “On inquiry, I was told that Amul has not reduced prices,” the resident from Taleigao said.

Similar is the case in the pharma sector. Several pharmacies are selling medicines with the same old prices requesting consumers to give them some time. “I don’t find any change in my bill today when I purchased the medicine. I paid the same Rs 4229 which I used to pay before September 22,” Arvind Shirvaikar, a 55-year-old, who had just left a city based pharmacy post his purchase, said.

Effective September 22, GST has become a two-tier structure of 5 and 18 per cent. The earlier rates of 5, 12, 18, and 28 per cent have been clubbed into two rates of 5 per cent and 18 per cent, resulting in a reduced price of 99 per cent of daily use items. 

The government has been monitoring the ground situation, creating awareness ensuring that businesses pass on the rate cuts and don't profiteer.

However, a source in the government confirmed that they are well aware that several retailers are not extending the benefit and that it might take a longer time to pass on the new rates to the consumers. “Things are not going to work out overnight. It will take time. But, the retailers will have to see that they extend the benefit at the earliest or else the whole purpose of GST cut is defeated,” the source said.

The government has asked the consumers, who are not receiving the benefits of rate reductions to raise their complaints with the National Consumer Helpline (NCH). 

Consumers can call the toll-free number 1915 or send a WhatsApp message to 8800001915 to report grievances. In addition, complaints can also be registered online through the Integrated Grievance Redressal Mechanism (INGRAM) portal.



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