March 2018
5:09 PM IST
News Headlines
Home   | Main News   | Kerala  | National   | International  | Business   | Sports   | Entertainment   | Columns   | Offbeat   | About Deepika 
Business News
FMCG firms slash prices post GST reduction
New Delhi, Nov 21 (PTI) FMCG companies, including ITC, Dabur, HUL and Marico, today said they have cut prices of various products to pass on the benefits of GST rate reduction to end-consumers.

The companies said they will extend the price reduction to other categories, which have also seen tax rate cuts. The development comes a day after the government asked the firms to pass on lower GST rates to consumers.

The Goods and Services Tax (GST) rate was reduced on 178 items, including detergents, shampoos and beauty products, from 28 per cent to 18 per cent from November 15.

"ITC has modified the price of its relevant products keeping in mind the applicable rates under the recent GST notification," a company spokesperson told PTI.

Similarly, an HUL spokesperson said: "We have reduced price for Bru Gold coffee from Rs 145 to Rs 111 on a 50 gm pack. Any further price changes will be communicated in due course."

HUL remains committed to passing on the benefits of GST reduction to the consumers, the spokesperson added.

Likewise, Marico CFO Vivek Karve said the company has effected MRP reductions on products across categories such as deodorants, hair gels, hair creams, body care etc.

"While the new production shifts to new reduced MRP immediately, we are passing on the benefits on existing stocks either through stickering the products with reduced MRP or by providing additional discounts to our trade channel partners," he said.

Karve further said the company has also sent out communication to its partners to pass on the benefit of reduced taxes to the consumers.

Earlier in the day, Dabur India said it has cut prices of existing stocks across categories such as shampoos, skin care and home care by 9 per cent.

The company said it had also revised the MRP of fresh production with immediate effect which will hit the shelves by next month.

When contacted, a Patanjali spokesperson said: "We welcome this step and the benefits must be transferred to the customers. We are evaluating over the quantum of decrease."

Yesterday, CBEC Chairperson Vanaja Sarna in a letter to all major FMCG companies had pointed out the need to immediately revise the MRP on all the products for which the tax reductions have been announced by the GST Council.

GST rates on a number of items have also been reduced from 18 per cent to 12 per cent and from 12 per cent to 5 per cent.

Items on which tax rate has been cut from 28 per cent to 18 per cent include chewing gum, chocolates, coffee, custard powder, dental hygiene products, creams, after-shave, deodorant, detergent and washing power, razors and blades, cutlery, batteries, goggles, wrist watches and mattress.

Tax rate on condensed mil, refined sugar, pasta curry paste, diabetic food, and bamboo/cane furniture has been cut from 18 per cent to 12 per cent.

Audi to hike car prices by up to Rs 9 lakh from April
RBI sets rupee reference rate at 64.9366 against US dollar
Indians choose travel over shopping, food: Survey
'Panama Papers' law firm shuts down operations
Delhi, Bangalore, Chennai among cheapest cities globally: EIU
Sensex extends losses, down 66 pts; Nifty below 10,400
SBI closes 41.2L SB accounts for not keeping minimum balance
RBI scraps bank LoUs in the aftermath of PNB fraud
Huawei, Savex Technologies partner for enterprise biz in India
Rupee opens 9 paise higher against US dollar
Sensex cautious on weak global cues; TCS cracks 5%
Rupee rises 23 paise against dollar in opening trade
Sensex rallies 301 pts ahead of IIP, inflation data
India braces for Donald Trump's reciprocal tax, may fight it in WTO
Sensex ends marginally lower on late sell-off
Rupee rebounds 4 paise in opening trade
Tata Steel could pip JSW to emerge as highest bidder for Bhushan Steel
Gujarat Refinery to invest Rs 24k cr on projects till 2022
Beneficiaries can get foodgrain quota from any ration shops: Paswan
Sensex rallies 300 pts, metal stocks rebound
BJP leaders meet Mani at home
 (Kottayam, Mar 17, 2018, DG): BJP leaders visited Kerala Congress veteran KM Mani's house on  
Lorries crash into each other at Kuravilangad, 2 killed
Nisha's controversial book: Jose.K.Mani responds to media
Three stars may be opened, Sudheeran warns govt
Mauritius: Ameenah Gurib-Fakim resigns over credit card scandal
 (Port Louis, Mar 17, 2018):Mauritian President Ameenah Gurib-Fakim has resigned after allegat
Trump fires former FBI deputy director Andrew McCabe
Six dead in Florida university footbridge collapse
Trump's daughter-in-law files for divorce from her husband
Sonia targets Modi, accuses him of making hollow promises
 (New Delhi, Mar 17, 2018): Former Congress president Sonia Gandhi today launched an all-out a
Rape attempt on university student
Congress urges EC to revert to paper ballots
Gorakhpur DM among 37 IAS officers shuffled in UP
Untitled Page
Rashtra Deepika LTD
Copyright @ 2017 , Rashtra Deepika Ltd.