Sambalpur: The Goods and Service Tax (GST) on minor forest produce has dealt a blow to scores of workers engaged in the trade.
The Centre has imposed an 18 per cent GST on kendu leaves which has hit workers engaged in the trade. Distressed workers have warned of protests from May 1 demanding withdrawal of 18 per cent GST on kendu leaves.
The workers posted at various kendu leaf godowns will wear black badge while working. This was stated here by Bijay Mohanty, president of Odisha Kendu Leaf Workers Association.
He alleged that the Centre has imposed GST on kendu leaves from 2017. However, despite repeated demand, the Centre is yet to withdraw it.
This has seriously affected 12 lakh bidi and other workers engaged in kendu leaf collection and bidi manufacturing. Many of the bidi manufacturing firms have closed down due to losses arising out of imposition of GST.
Moreover, kendu leaves collected are lying in godowns without being disposed. This has happened as many bidi and other firms have stopped procuring kendu leafs due to higher GST.
On the other hand, the government collects GST regularly which is Rs 311, 12, 65,000. This tax is being collected from government-managed institutions depriving employees of their bonus and other social security benefits.
PNN