Madhya Pradesh Chief Minister Mohan Yadav has praised the Centre’s new GST reforms, saying they will benefit many people and help boost small businesses and local industries across India.
Yadav shared his thoughts following the government’s decision to simplify the Goods and Services Tax (GST) slabs, as part of its efforts to make doing business easier.
Union Finance Minister Nirmala Sitharaman announced late on Wednesday night that the GST slabs would be reduced, making life simpler for businesses and consumers.
Chief Minister Yadav described this move as a “courageous” step by the Centre, saying Prime Minister Narendra Modi has provided much-needed relief to the people and entrepreneurs during uncertain economic times.
“Prime Minister Modi hinted at big relief during his speech on August 15, and within a month, these GST reforms show his commitment to the country’s growth,” Yadav said.
While visiting Indore for a series of events, Yadav explained how the revised GST rules will give a new boost to economic growth both in Madhya Pradesh and across the country.
As an agriculture-focused state, Madhya Pradesh benefits greatly from these changes. Yadav pointed out that reducing GST on agricultural products, equipment, health, and education will help farmers and families in the state.
He also highlighted that these reforms are a sign of Prime Minister Modi’s dedication to protecting farmers’ interests.
Yadav mentioned that the GST cuts will help the poor and middle class the most. For example, the GST on tractor tires and parts has dropped from 18% to 5%, and the GST on tractors has come down from 12% to 5%. This makes farming equipment cheaper and easier to buy.
Additionally, health and life insurance premiums, which used to be taxed at 18%, are now exempt, giving relief to everyday families.
In a significant change, the GST council, led by Finance Minister Nirmala Sitharaman, simplified the tax structure from four slabs to just two—retaining 5% and 18%, while removing the 12% and 28% rates.
Starting September 22, the new GST rates will apply to services and goods. The tax on personal care products like shampoo, toothpaste, and hair oil has been reduced from 18% to 5%.
However, the GST on tobacco products like cigarettes and cigars has increased from 28% to 40%.
Popular snacks such as namkeens, bhujia, and other packaged eats will also become more affordable, as their GST drops from 12% to 5%.
These tax changes aim to make everyday items cheaper and support growth for small businesses, farmers, and ordinary consumers alike.
Overall, these GST reforms are seen as a big move to boost India’s economy, help small industries, and benefit common people across the country.
