Karnataka CM Siddaramaiah writes to FM, seeks zero GST on hand-made goods by co-operative societies

“As you are aware hand-made products of various kinds are produced by millions of artisans and poor rural households in India. In Bengaluru for the past few days a noted theatre activist Prasanna has been undertaking a satyagraha and hunger strike against GST on many hand-made products,” Siddaramaiah stated in his letter to the FM.

Siddaramaiah stated that he has “received a representation from a committee constituted by Gram Seva Sangh consisting of noted activists including Prof Ashis Nandy, Uzramma and Shyam Benegal seeking an exemption of GST on various hand-made products produced and marketed by producer co-operative societies and the federations”.

The committee, among other things, is seeking a raising of registration turnover limit of individuals and self-help groups producing hand-made products to Rs 50 lakh. The products range from hand-made butter to hand-made paper. “Imposition of GST on such products has had an adverse affect on the livelihood of such artisans engaged in producing such products,” Siddaramaiah said.

“This representation requires serious and urgent consideration and a positive resolution. This would not only benefit a large segment of our rural population (but) would also give a boost to rural employment and sustainability. I therefore urge you to take this issue on a priority basis in the next GST Council (meeting) and decide favourably benefiting a large segment of rural artisans,” the letter said.

Prasanna broke his fast on Thursday after Siddaramaiah assured him that the state government would support the demand for zero GST on hand-made products.