Reduce GST on beedi to 5%: Former Union minister M Veerappa Moily

MANGALURU: Former Union minister M Veerappa Moily said the central government should reduce the GST on beedi from 28% to 5%.
He was addressing a convention of beedi workers organised by the Karnataka Coastal Beedi Workers Association and Dakshina Kannada-Udupi Beedi Contractors Association, at the Kudmul Ranga Rao Town Hall on Sunday.
“It is not right on part of the government to levy 28% GST on the beedi industry. There is a need for relaxation for the beedi industry from the GST. The government may levy 5% GST on beedi,” the Congress leader suggested.
He said the beedi industry has contributed immensely for the development of Dakshina Kannada and Udupi districts. “We cannot compare other industries with the beedi industry. Nearly 50% of the income from the beedi industry goes to the health expenditure of beedi workers and their family members. Levying 28% GST on the beedi industry has been putting workers to hardship,” Moily said.
He suggested that a comprehensive law is essential for the welfare of thousands of beedi workers in the nation.
“Thousands of families are depending on beedi industries, and they have been leading a tough life. For the welfare of those working in the industry, there is a need for a law at the national level,” he said.
Mangaluru MLA and deputy leader in the Karnataka assembly U T Khader said that a corporation should be set up for the welfare of beedi workers. “A separate corporation will help beedi workers to avail various government schemes through a single window,” he said. Mangaluru City South MLA D Vedavyas Kamath said that he will strive honestly to bring various issues of beedi workers to the notice of the state government.