Industry leaders are waiting and hopeful for policies that will positively impact their sectors. Start-up retail bosses are batting for GST changes that will benefit not just the industry players but also consumers.
Richa Kalra, founder of premium lingerie brand Candyskin, feels that the retail industry, despite contributing almost 10 per cent to India’s GDP, continues to face several challenges that include infrastructure, shortage of skilled manpower and high rentals. She said that the Government should consider revising the percentage of GST on apparel. The 5 per cent slab of GST on apparel should be increased from Rs 1,000 to Rs 2,000 per piece. All clothing of sale-value exceeding Rs 1,000 per piece is currently subject to 12 per cent GST. Kalra also feels that consumption needs to be boosted by putting more money in the hands of consumers and that one of the many ways to do this is by introducing a tax-free phenomenon, refund of GST on shopping for foreigners which will not only boost tourism but also consumption.
Neha Kant, co-founder and director of online lingerie brand Clovia, said that expectations are high from Finance Minister Nirmala Sitharaman in terms of simplifying and liberalising labour laws. She stated that the Government should initiate refund of GST accumulation due to services, in sectors with inverted duty structure. India has become one of the fastest-progressing countries promoting business ventures, hence it is essential that the laws leading to ease of doing business in states other than Delhi (viz. Haryana, UP, Punjab) should be simplified.
