GST rate cut impact: Godrej Consumer Products reduces product prices up to 10%
The Goods and Services Tax (GST) rate was reduced on 178 items, including detergents, shampoos and beauty products, from 28 percent to 18 percent from 15 November
New Delhi: FMCG major Godrej Consumer Products Ltd on Wednesday said it has lowered prices of its various products in the range of 7-10 percent to pass on benefits of the recent GST rate reduction.
On Tuesday ITC, Dabur, HUL and Marico, had cut prices of various products following reduction in GST rates effective 15 November.
"We are committed to passing on the benefits of the reduced rates to our consumers and have initiated a 7-10 percent price reduction on our products across hair colours, air fresheners, liquid detergents and deodorant categories," Godrej Consumer Products Ltd (GCPL) Business Head-India and SAARC Sunil Kataria said.
The move comes days after the government asked the firms to immediately revise the MRP on the products to pass on lower GST rates to consumers.
GCPL said the reductions will be effective immediately and would also be applicable on our existing stocks.
"We are working very closely with our distributors and channel partners to monitor that the reduced MRPs are being passed on to the consumers," Kataria said.
He further said: "Our intent is to offer maximum support to retailers and wholesalers so that the switch to the new pricing is seamless and quick".
The Goods and Services Tax (GST) rate was reduced on 178 items, including detergents, shampoos and beauty products, from 28 percent to 18 percent from 15 November.
GST rates on a number of items have also been reduced from 18 percent to 12 percent and from 12 percent to 5 percent.
GST Council meeting on Friday; tax concession to 11 COVID drugs, bringing petrol and diesel under GST on cards
Tax rate on Amphotericin B, Tocilizumab was cut to 'Nil', while Remdesivir and Heparin was reduced to five percent in June 2021.
The Council decided to continue keeping petrol and diesel out of the GST purview as subsuming the current excise duty and VAT into one national rate would impact revenues
GST is being thought to be a solution for the problem of near-record high petrol and diesel rates in the country