The implementation of the new Goods and Services Tax (GST) slabs on Monday has been met with appreciation from citizens across the country, with many noting that the reforms will put more money back in their pockets.
In Delhi, resident Ravi Shankar Kumar said, “There are several benefits for middle-class families. Be it ghee, butter, milk or ice cream, the prices have gone down. We will have some benefits in terms of what we spend in a month on dairy products.” Another consumer, Sahil, welcomed the move, adding, “Rates of ice cream, butter and other milk products have reduced. It is a good step by Modi.”
From Ayodhya, Narsingh Pathak highlighted the broader impact, saying, “It is a very good decision. It is also beneficial for the automobile sector. Those who had to pay up to Rs 1 lakh in tax to buy small cars will greatly benefit, as they will now be able to save up to Rs 80,000. The price of motorcycles will also reduce by around Rs 35,000. Diabetes and cancer medicines will also become cheaper.”
Farmers in Uttar Pradesh also welcomed the GST reduction, noting its effect on agricultural equipment. A farmer from Aligarh said, “Earlier the GST used to be in 4 slabs and is now in 2. This will benefit farmers in the long run because Rs 50 per bag has been reduced on fertilizers. There will be a difference of Rs 40-50 thousand when we buy tractors, which is beneficial for us. We welcome this move… Every section of society will benefit.”
Prime Minister Narendra Modi, addressing the nation, described the reforms as part of next-generation economic measures aimed at easing financial burdens and promoting inclusive growth. Under the new structure, only 5 per cent and 18 per cent tax slabs will primarily remain, making most everyday-use items more affordable, including food, medicines, toiletries, insurance, and household goods.
PM Modi also highlighted that of the items previously taxed at 12 per cent, nearly all have now been moved to the 5 per cent bracket. He noted that travel and hotel stays will also become more affordable. The Prime Minister praised shopkeepers for actively passing on the benefits of GST reductions to customers.
The rollout coincides with the festive season of Navratri, and PM Modi remarked that the GST reforms mark a significant step forward in the campaign for an Aatmanirbhar Bharat.