GST reforms foster business-friendly environment, say trade bodies

The timely changes mark a decisive step towards simplification, affordability, and economic momentum, the trade bodies observe.
| Photo Credit: PTI

Confederation of Indian Industry – Andhra Pradesh (CII – AP) Chairman Murali Krishna Gannamani has praised Union Finance Minister Nirmala Sitharaman for ushering in the next-generation GST reforms, calling them timely changes that reflect the government’s commitment to foster a business-friendly environment.

In a press release, Mr. Murali Krishna said the landmark decisions taken at the 56th meeting of the GST Council marked a decisive step towards simplification, affordability, and economic momentum.

The sweeping reduction of GST rates on essential goods such as dairy products, medicines, and everyday household items, along with reforms in processes and institutional strengthening, would directly benefit the consumers, the aspirational middle class, and the industry alike, he observed.

For businesses, especially in the manufacturing and infrastructure sectors, lower tax incidence and correction of duty distortions would improve project viability and margins. By reducing the cost of capital goods and inputs, the reforms would create an enabling environment for private investment, aligning with the government’s larger objective of crowding in private capital to sustain India’s growth trajectory, he said.

The AP Chambers of Commerce and Industry Federation (AP Chambers) said the GST reforms were a long-awaited measure that directly benefits the common man and businesses alike.

AP Chambers President Potluri Bhaskar Rao said in a press release that the industry body had been advocating rationalisation of GST into two slabs for the last four years, and it would give a significant boost to most sectors in Andhra Pradesh, particularly the MSMEs that had been under stress in the recent years due to high costs, demand slowdown, and the impact of global tariffs.

The reforms offer the much-needed relief and new opportunities for growth, while marking an important step forward for industry, trade, and citizens.

By reducing the taxes on essential goods such as food, education, healthcare, and agriculture, the Centre eased the burden on households and improved affordability, thereby raising the living standards, Mr. Bhaskar Rao asserted.

AP Chambers’ General Secretary B. Raja Sekhar said the reforms would improve competitiveness across diverse sectors, emphasising the need for industries to pass on the benefits of lower taxes to the people.

Published – September 05, 2025 05:10 am IST

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