New Delhi, September 6:
In a major step on the financial front, the Central Government has introduced comprehensive reforms in the Goods and Services Tax (GST), providing significant relief to citizens, particularly middle-class families. Union Minister Ashwini Vaishnaw, in a press conference, said that under the leadership of Prime Minister Narendra Modi, this decision will not only reduce day-to-day expenses but also accelerate the country’s economy.
Vaishnaw explained that earlier, reforms in income tax had provided exemption on income up to ₹12 lakh. Now, by reducing and simplifying GST rates, middle-class households will gain substantial benefits. He said that from basic essentials such as food, clothing, and housing to electronic products like televisions, refrigerators, mobile phones, power banks, and solar panels, the tax burden on almost every household item has been reduced.
Highlighting the broader impact, he stated that India’s GDP is around ₹330 lakh crore, of which consumption accounts for ₹202 lakh crore. If GST relief leads to even a 10% rise in consumption, it could generate an additional ₹20 lakh crore in GDP. Increased production will drive employment growth and strengthen investment.
The Union Minister emphasized that savings in the hands of middle-class families will increase. These savings will either go into deposits, higher purchases, or investments. All three activities, he noted, will boost the economy and initiate a “positive cycle.”
To ensure the message reaches rural and common consumers, the party and government will run a large-scale campaign through village gatherings, public meetings, and media outreach.
Speaking specifically on electronics manufacturing, Vaishnaw highlighted that in the past 11 years, production in this sector has grown sixfold and exports eightfold. Today, around 25 lakh people are employed in the industry, and India now manufactures everything from mobile phones to batteries and chips. Semiconductor and API (pharma) manufacturing has also begun in the country.
He assured that all industry associations have committed to passing on GST benefits directly to consumers. The Finance Minister has also made it clear that strict action will be taken against companies that fail to transfer these benefits.
Vaishnaw concluded by saying that this reform is not merely about simplifying the tax structure but marks a new chapter in the journey toward Atmanirbhar Bharat (self-reliant India) and economic growth.