Government Considers Reducing GST on Tobacco Exports to Aid Farmers
The Indian government is considering lowering the GST rate on raw tobacco exports from 40% to 28%, with promises to explore other incentives for farmers' welfare.
Nilakshi Barman||1 min read
The Centre has responded positively to four key proposals submitted for the benefit of tobacco farmers and exporters, says Tobacco Board Chairman Yashwanth Kumar Chidipothu. | Photo Credit: The Hindu
The Union Government has agreed to Andhra Pradesh's request to reduce the Goods and Services Tax (GST) on unmanufactured tobacco meant for exports from 40% to 28%.
This step aims to provide relief to exporters and offers hope to tobacco farmers amid the Flue-Cured Virginia (FCV) tobacco crisis in the state.
Officials also indicated they will consider other incentives to support farmers during ongoing market challenges.
