New Delhi: The PHD Chamber of Commerce and Industry (PHDCCI) has urged the government that all packaged (whether branded or unbranded) cereals and staples including rice, wheat, millets and their flours should be uniformly tax under GST at the rate of 5%, irrespective of whether the brand owner forgoes rights, etc. in order to maintain an equitable tax structure and avoid revenue leakage.
The dates of the Budget session are yet to be announced, though it is expected that Finance Minister Nirmala Sitharaman wiill present the Budget 2022-23 on February 1 as has been practised since a couple of years now.
In its pre-Budget memorandum PHDCCI has suggested that government grants exemption from GST for all infrastructures related services for setting up of new plants / factories / storage infrastructure which are in relation to processing of agricultural produce into food stuff to provide a fillip to the food processing sector.
The trade and industry body has sought for benefit of exemption from GST & any such benefits as may be available for Skimmed Milk Powder (SMP) may be extended to all type of supplies, where such SMP by the recipient is used for production of Milk, Curd and Lassi.
PHDCCI has said, "Dairy Farmers are the backbone of our economy, rationalization of the rate of GST on Milk based products like Ghee and Dairy based drinks from 12% to 5% will promote the consumption of these products and provide remunerative rates to Dairy Farmers."
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