Chhatrapati Sambhajinagar
Recent changes in the GST system announced by the Central Government may create a financial crisis for corrugated box manufacturers. While corrugated box production is taxed at 5% GST, its main raw material kraft paper is taxed at 18%. The Western India Corrugated Box Manufacturers’ Association (WICMA), during its recent two-day symposium, under the theme ‘Innovate, Integrate and Elevate’, demanded that this disparity be removed and that GST on both finished products and raw material be made uniform.
The conference was inaugurated by OBC welfare minister Atul Save and Lokmat Editor-in-Chief Rajendra Darda. WICMA president Anil Loya, vice-president Rohit Bubna, secretary Shlok Kedia, treasurer Satyajit Patel, former WIMCA president and Director, Reception Committee of the symposium Kirtikumar Gandhi, Symposium Chairman Pankaj Shah, delegates from Chhatrapati Sambhajinagar Nikhil Khiwansara, Jamesh Thomas, Dushyant Patil, Sanjay Ahire, Idris Sangram, Kailash Mundada, Shri David and other dignitaries were present.
On September 3, the GST Council announced the revised tax system, reducing the GST on box production from 12% to 5% a positive step. However, the GST on kraft paper was increased from 12% to 18%, reversing the earlier uniform rate of 12% for both input and output. Delegates warned that this disparity would be harmful to the industry. They urged Minister Save to reduce GST on kraft paper and corrugated boards to 5%, equal to that of box production.
At the end of the symposium, the lifetime achievement award was presented to Kirti Gandhi. More than 200 box manufactures from Maharashtra and Goa were present.