‘Luckily, it was not retained’: Omar on plan to increase GST on Kashmir shawls

Jammu and Kashmir Chief Minister Omar Abdullah said the issue of increasing GST on Kashmiri shawls was not raised during the 55th century.^th GST Council meeting held in Rajasthan on Saturday.

“There had been a lot of speculation that GST on shawls, especially pashmina shawls, was going to be increased, so we were prepared to ensure that that did not happen,” Omar told reporters after the meeting. “Fortunately, this was not taken up and in future also, we will ensure that a project like this is not considered as it would put the life of our pashmina shawl industry in danger.”

Omar also wrote on We had gone to Jaisalmer fully prepared to defend the interests of our shawl weavers and artisans, but defense was not necessary.

Political parties in Kashmir have raised concerns over reports of GST being increased on Kashmiri shawls.

Former Chief Minister and Peoples Democratic Party leader Mehbooba Mufti on Saturday raised concerns over the proposed increase in GST on Kashmiri shawls.

Stating that Kashmir shawl is “not just a livelihood for us but an identity of Jammu and Kashmir,” the Mufti said, “when you increase GST on Kashmir shawl to 28 percent, our art will automatically die.”

Handwara MP and People’s Conference leader Sajad Lone had said on Friday that “handmade shawls are rare and the Kashmiri shawl embodies our history and is an ambassador of our artistry.”

“I hope the GST increase on shawls is an oversight… Why are we eroding their competitiveness by putting them in higher GST tax brackets? It really doesn’t make sense to tax those hands,” he said. “The increase in GST on shawls will be a big blow to the industry. This is a call to return to the lowest GST tax brackets. This is a cottage industry that needs to be encouraged.

On Friday, the Jammu and Kashmir government had assured to safeguard the interests of the famous handicraft and handloom sector.

Responding to some reports regarding the proposed revision of the tax slab in the upcoming GST Council meeting, a government spokesperson clarified that the UT government had already taken up the issue with the Commerce Ministry and of Union Industry, “requesting in this context a reduction in GST”. tariff structure from existing 12 per cent to 5 per cent uniformly, including shawls priced above Rs 1,000, with the aim of reducing the tax burden on this cottage industry and supporting marketing.”