Businesses on Monday reported the flood of sales and questions when the buyers rushed to rush products and services that turned cheaper at the dawn of GST 2.0. Car makers have seen an increase in demand for household appliances when the festival season reaches full swing, while the nine -day Navratri festival starts on Monday.
Maruti Suzuki India Ltd, the largest Indian automaker, said the customer’s reaction to price cuts was phenomenal, which the company has not seen in the last 35 years.
“On the first day, we recorded 80,000 questions and have already delivered over 25,000 cars, expecting to affect 30,000, from 18 September, when we announced further price reductions (over and over GST), we received 75,000 reservations, almost 15,000 reservations came every day,” The demand for small cars jumped by 50%and the questions remain “very high”, said Banerjee, adding that Maruti Suzuki can even stock supplies for certain variants. “Sellers remain open late into the night to supply cars to customers. Compared to last year, the overall reaction was extremely strong,” he said.
The sale of air -conditioners and television ensembles increased as the buyers plunged into cheaper stores offered by retailers, PTI informed. Domestic appliances previously taxed at 28% are now taxed to 18%. “The trends of primary regular sales are encouraging. By 17:00 in the evening our dealers reported almost double sales compared to any other Monday,” said President Haier India NS Satish PTI. The CEO of Blue Star B. ThiaGarajan called the mood “positive” and quoted questions. “The gross estimate is that growth will be around 20%compared to last year. Large sales of electronic trading players start today and prices will be prices before they decide,” PTI said.
The forecast is on the right
The growth seemed that the Minister of Finance Nirmala Sitharaman was a forecast of sales boom. In an interview with Mint, the Minister said, “Most likely, from September 22, people will go there to buy. Absolutely there will probably be an increase, such as post-covid” revenge “, the minister said. Given that festive purchases receive tax cuts, the government will be able to equalize the impact rate in this financial year itself, she said.
The chairman and CEO of ITC LTD Sanjiv Puri described the introduction of the new generation reform as a “historical moment” that would make the products more accessible, increase consumption and energized small and medium -sized enterprises. In the post Linkedin, Puri welcomed the prime minister’s announcement on reforms on the eve of Navratri and described it as “thoughtful and crazy” and a step to speed up the Indian path to “Viksit Bharat”.
Also read | GST 2.0 will come into effect on Monday. What does it mean for companies and consumers
Prime Minister Narendra Modi called it a festival of savings GST. He wrote on the social media that lower tax rates mean more savings for every household and greater lightness for businesses, the day after saying that tax cuts will speed up the growth of India.
Modi, which was in Arnacal Pradesh, interact with local traders and retailers in Itanagar, who showed their products and emphasized the impact of GST reduction on prices. Modi told them that he became a brand ambassador for his products, and at the same time he urges them to exhibit banners urgent about the “Swadeshi” movement.
Involvement
Finance Minister Sitharaman visited Laxmi Nagar in the capital and communicated with traders and consumers, which meant implementing GST reforms and invited everyone to buy and sell in India. Nadda, National President BJP and Minister of Health, visited Lajpat Nagar in the capital and discussed GST reforms with traders.
The active involvement of the political executive and sending messages for companies and consumers that the government wants to give the benefits of taxes to consumers without failure, thousands of businesses have led to publish price reduction notifications.
The main economic advisor V. Anantha Nageswaren said at the Network18 event in the capital that the country’s economy is likely to approach the upper end of the government’s expected scope, which helps the GST reform. Economic survey assumed that the Indian economy would expand between 6.3% and 6.8% in FY26.
Also read | How do consumer companies prepare to introduce GST rates?
Outreach The campaign is coming although the Ministry of Consumer Affairs is about to share data on consumer complaints about the company with the Central Council of indirect taxes and customs (CBIC) and other bodies for early action.
However, the opposition Congress Party was skeptically and criticized the government as what it described as “GST reform” and for “everything to the event”. Party leader Jairam Ramesh claimed that the Indian economy did not come out of the shock of demonization and the introduction of GST eight years ago, which were two events that were timed close to each other.
Passing the benefits
The advantage of scanning 18% of GST to individual life and health insurance is completely passed on to customers, said Amit Chhabra, main entrepreneur, general insurance, policebazaar. “The discounts have also resulted in significant policy capture on our website. I feel that the government’s decision to liberate individual life and health insurance from GST not only cheaper for customers, but also helped raise awareness of insurance products that will help increase insurance in the country,” Chhabra added.
GST 2.0 brought rationalization of energy transition costs, because the tax rate on renewable energy components, including solar cells, biogas plants and windmill equipment, was reduced to 5% of 12%, industry representatives said. They said that price reduction was introduced and Billings has taken into account Monday at new prices.
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Amit Paithankar, full -time CEO and director, Waaree Energies LTD said: “GST reduces on renewable energy and 5% equipment will reduce the project cost and speed up the capacity of the capacity to meet Indian energy objectives. It can temporarily increase the question of reversed taxation, the focus of the government on the return of a faster tax credit (ITC) should help solve this.
Pinaki Bhattacharya, founder, MD and CEO, Ampin Energy Transition said: “While the focus on domestic production has contributed to rising energy costs, the recent GST rationalization provides early relief.
Solar, tractors
According to ICRA estimates, the rationalization of solar PV modules and wind turbine generators will be expected to reduce the capital costs of solar and wind energy projects by 5%. It is expected to reduce the cost of production for solar energy projects by 10 Paise per unit and for wind energy projects by 15-17 Paise per unit, which in turn can be reflected in electricity prices for consumers in the upcoming projects.
The renewable energy is a focused area of the government due to its ambitious objective to achieve 500 GW of non -formal capacity by 2030 and net zero carbon emissions by 2070. Estimates of the Ministry for the Union of Union for distribution companies that could be translated into national contracts that could be translated into national connections that could be translated into national connections that could be translated into national connections translate into national companies that could translate into national companies that could be translated into national companies that could translate into national companies that could translate into national companies. £2 000–3 000 crore in the cost of awarding public procurement.
The Minister of the Union for the new and renewable energy of Pralhad Joshi said that developers and investors in the field of transition in energy will probably save £1-1.5 trillion due to GST cuts as eyes in India for approximately 248 GW of informative energy production by 2030.
Also read | GOVT can let developers leave stopped renewable projects without fines
Tractor manufacturers said they reduced the price and handed over the benefits to customers. “For our customers, we have exceeded the entire GST reduction from 12% to 5%, making our equipment more accessible and more accessible. The initial reaction was encouraging and we expect the full impact to be more visible in the coming days because the implementation emphasizes the pace. said Narinder Mittal, president and CEO of CNH India. International Tractors LTD, manufacturer of Sonalika brand tractors, also reduced prices.
Sudarshan Jain, General Secretary of the Indian Pharmaceutical Alliance, said that an industrial body representing 23 leading research companies is fully determined to ensure that GST achieves the benefits of citizens quickly and transparently and develop their mission available and accessible health care for all.
“Most of the drugs previously taxed at 12% now attract only 5% of GST. In addition, 36 critical drugs to save life for cancer, genetic and rare diseases, and cardiovascular conditions have been fully exempted.
Sumant Sinha, founder, chairman and CEO of Renew Energy Global PLC, said the company was proud to give our customers full advantage. “We believe that this step will catalyze adoption across segments, from extensive developers to roof consumers and farmers.” The company said GST reduction will be reflected in direct savings until £10 lakh per megawatt (MW) for modules that are made with imported components in the ground £15 Lakh per MW for locally manufactured modules for commercial projects.
(Dhirendra Kumar, Vijay C Roy, Rhik pussy, Priyanka Sharma and Subhash Narayan contributed to this story)
(Tagstotranslate) Anantha Nageswarean
