AP Chambers welcomes GST reforms, says MSMEs and citizens will benefit

The Andhra Pradesh Chambers of Commerce and Industry Federation (AP Chambers) has welcomed the GST reforms announced by the Centre, calling them a long-awaited step that fulfils its demand for a simplified tax structure.

For over three years, AP Chambers has been pressing for a two-slab GST system. The decision, it said, will ease pressure on businesses in Andhra Pradesh, particularly MSMEs that have been hit by high costs, weak demand, and global tariff issues.

“AP Chambers congratulates Prime Minister Narendra Modi, Finance Minister Nirmala Sitharaman and the GST Council for their leadership in introducing next-generation GST reforms. By reducing taxes on essentials such as food, education, healthcare and agriculture, this move will ease household expenses, improve affordability and raise living standards,” said AP Chambers President Potluri Bhaskara Rao.

The Chamber noted that agriculture, trade and industry across the State would benefit from lower tax burdens and improved competitiveness. It urged industries to pass on the relief to consumers, while recommending strict government monitoring to ensure effective implementation.

AP Chambers said the new structure would widen GST adoption, bring more of the unorganised sector into the tax net, reduce evasion and strengthen compliance. Simpler procedures are also expected to cut costs, lower litigation and bring clarity to the tax system, while supporting steady revenue growth.

Reiterating its focus on farmer welfare, the Chamber recommended reducing GST on fruit pulp-based carbonated drinks to 5% to promote horticulture.

“These reforms are citizen-friendly, farmer-friendly and MSME-friendly. They reflect AP Chambers’ consistent representations on GST simplification. This decision will transform the tax system, boost competitiveness and strengthen inclusive growth. It is equally important, however, that the benefits are passed on to consumers,” Mr. Bhaskara Rao said.