Cooperatives Seek GST Exemption for Sustainable Growth

CPI-M member V Sivadasan has advocated for GST exemption for the cooperative sector to promote equitable growth. Cooperatives play a crucial role in India, offering fair wages and market stability. GST burdens these enterprises, impacting livelihoods. Other issues raised include Sabarimala's infrastructure and Amla hub development.

CPI-M member V Sivadasan emphasized the need for GST exemption for the cooperative sector, arguing that it fosters equitable growth and community-driven enterprises. Speaking in the Rajya Sabha, Sivadasan urged the government to prioritize such exemptions to safeguard smaller units from financial burdens.

Cooperatives have historically been pivotal in promoting economic equality in India, especially in states like Kerala where they operate across diverse sectors such as agriculture, dairy, and handloom. These units prioritize community welfare over profit, maintaining fair wages and stable markets.

However, the imposition of GST on cooperative products significantly elevates production costs, declining competitiveness and affecting the livelihoods of farmers, artisans, and self-help groups. Sivadasan asserts that removing GST would bolster local economies, sustain member returns, and enhance community production systems.

(With inputs from agencies.)