Citizens for Justice and Peace

GST a Looming Issue What GST has done to the Traditional Weavers in Karnataka

02, Jun 2018

There has been a lot of debate in the media over the anomalies and imperfections of GST. Almost a year down the line, not many have paid attention to what GST has done to the grass root workers and small scale industries in different corners of the country. The weaving industry in the Bhagyanagar village of Koppal district in Karnataka has been one of the worst hit small scale industries in the state since GST was implemented. Even the small scale weavers with 5 or 6 machines require GST number. An initial 18% tax is charged for the production and another 5% for selling it, making it a total of 23% GST on the product. This causes an increased price and results in a lesser demand for the product.


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