Coimbatore: Wet grinder makers stage demo against hike in GST

COIMBATORE: Members of the Coimbatore Wet Grinders and Accessories Manufacturers Association staged a demonstration here on Wednesday, seeking the Union government to reduce the Goods and Services Tax (GST) on the wet grinders to 5% from 18%.
It was on June 28 that the GST Council increased the tax imposed on the wet grinders to 18% from 5%. The association members had been making representations to the Centre to reduce the tax since then, but in vain.
Speaking to the media, R Soundarakumar, association president, said this was a token demonstration. "Like other industrial sectors, wet grinder making units were too affected by the raw material price hike in recent times. Then came the GST council's decision to hike the tax by 13%. We are now finding it difficult to run the units."
He said around 30,000 people were dependent on the wet grinder units in the district to make a living. "The recent hike in the GST has forced half of the total 400 units to shut their operations temporarily."
Another source said some dealers were forcing the wet grinder manufacturers to supply the products without bills, because of the higher GST. "This will result in tax evasion."
In March, wet grinder units were rattled by a shortage of stones, after the Madras high court banned quarrying at Uthukuli in Tirupur last year. "The shortage of stones is still a concern. We are forced to shell out more money on the raw material. When this issue is unresolved, imposing a higher GST will take a huge toll on the business," Soundarakumar said.
The association members warned to take out a rally in Chennai if their demands were not addressed. They also raised concerns about the power tariff hike, which came into effect last week.