If you are a consumer who buys trademark registered branded rice packs, then you could easily be paying at least ₹4 to ₹5 more per kg with the government imposing 5% of Goods and Services Tax (GST).
“Around 17% of the rice in the country is being sold using brands registered with the Government of India as a trademark,” said D. Thulasingam, vice-president, Federation of All India Rice Millers Associations.
Addressing a press meet here on Sunday, office-bearers of the Federation said that the Centre should consider withdrawing the tax as it would unnecessarily burden the consumer.
A total of 16 States produce rice and among those Tamil Nadu, Telangana, Karnataka, Puducherry, Kerala and Andhra Pradesh have the most number of brands. “If the government continues to impose GST, consumers would soon give up brands that will stand to lose their market,” Mr. Thulasingam said.
Federation of Tamil Nadu Rice Mill Owners and Paddy-Rice Dealers Association secretary A.C. Mohan said there was a misconception that branded rice was sold at a premium which was not correct.
“Only Basmati, which is not consumed in large quantities by the common man is usually in the higher price bracket. These registered brands that take about 20% of the rice market in the State sell their products on a par with the non-branded ones. The names are there only so that consumers can relate to their quality,” he explained.
“Around 17% of the rice in the country is being sold using brands registered with the Government of India as a trademark,” said D. Thulasingam, vice-president, Federation of All India Rice Millers Associations.
Addressing a press meet here on Sunday, office-bearers of the Federation said that the Centre should consider withdrawing the tax as it would unnecessarily burden the consumer.
A total of 16 States produce rice and among those Tamil Nadu, Telangana, Karnataka, Puducherry, Kerala and Andhra Pradesh have the most number of brands. “If the government continues to impose GST, consumers would soon give up brands that will stand to lose their market,” Mr. Thulasingam said.
Federation of Tamil Nadu Rice Mill Owners and Paddy-Rice Dealers Association secretary A.C. Mohan said there was a misconception that branded rice was sold at a premium which was not correct.
“Only Basmati, which is not consumed in large quantities by the common man is usually in the higher price bracket. These registered brands that take about 20% of the rice market in the State sell their products on a par with the non-branded ones. The names are there only so that consumers can relate to their quality,” he explained.