The Karnataka Hosiery and Garment Association has called on the GST Council to unify tax slabs on garments and to bring petroleum products under the GST framework. The association stated that such measures would help reduce consumer costs and ease compliance challenges faced by the apparel industry.
According to the association, the current system of multiple GST rates creates confusion and raises operational burdens, which ultimately results in higher prices for end consumers. A single 5% GST rate across garments and hosiery, it noted, would minimise price fluctuations and improve market competition, benefiting both MSMEs and larger enterprises.
The association further highlighted that including petroleum products within the GST ambit would help lower input costs across industries and eliminate fuel price disparities between states. While acknowledging that states may face revenue losses in the short term, it argued that a broader tax base would eventually stabilise revenue streams.
The association emphasised that a forward-looking reform approach was essential to ensure economic stability and long-term growth.
