Coming down heavily on introducing the Good and Services Taxes (GST) on dairy products, the farmers’ organisations on Saturday said that it would prove to be a “death knell” for small dairies and farmers who have been barely managing the rising input costs.
Ashok Dhawale, President, All India Kisan Sabha said that recommendations of the 47th meet of the council to impose 5% GST on dairy products and increasing the tax rate from 12% to 18% on dairy machinery including the milking machines will affect over 9 crore households engaged in milk production. He said that the BJP is seeking centralisation of political authority and capital and the move remains in this direction.
Talking to NewsClick, the veteran farmers’ leader said, “India is the world’s largest milk producer, and the sector is characterised by the concentration of petty producers with 75% of the rural households owning 2-4 cows. Women and peasants from the lowest social strata are highly dependent on the dairy sector. The fact that the livestock sector contributes about one-fourth output of the agricultural sector shows the economic significance of the sector for the 9 crore farming households. However, the recent changes in
— source newsclick.in | Ravi Kaushal | 03 Jul 2022