New Delhi, February 02, 2022: The retail industry has been showcasing steady signs of recovery in the last quarter, however, some amount of uncertainty owing to the rapid surge in COVID and the third wave, still seems to pervade the industry.
The upcoming budget is particularly crucial for all leading brands including us, as it will set the course of recovery for the retail and footwear industry. To start with, revision in the GST structure to eliminate complication is important and this demands immediate attention. Currently, GST is levied at 18% on footwear sale price above INR 1000, and 12% on footwear sale price less than INR 1000, which creates a lot of confusion.
A uniform rate of 12% on all footwear would result in reduction in overall prices and has huge potential of triggering consumer demand. Another welcome move would be reducing the import dependency on footwear raw materials & accompanying custom duties and support the manufacturers to setup production locally for footwear raw materials, components, co-polymers, moulds and machinery at competitive prices under the ‘Make in India’ initiative to build the capabilities and drive India’s Exports ambitions also.
This would generate employment and lead to reduction in overall prices, which in turn would provide a much needed boost to overall consumer sentiment.
Corporate Comm India (CCI Newswire)
