Insight Bureau: Rajya Sabha MP Sujeet Kumar through a Special Mention in the Rajya Sabha raised the demand to withdraw goods and services tax (GST) from Kendu leaves, saying that it will benefit more than one crore Kendu Leaf workers across India.
“This is to draw your attention to the predicament of more than 1 crore Kendu leaf workers in India who have been suffering since the implementation of the GST on 01.07.2017, where an 18% GST is being imposed upon Kendu (Tendu) leaf produce”, said Sujeet Kumar.
“In the State of Odisha, this had a significant impact on over 8 lakh Kendu leaf workers, most of whom are tribal and women who make up roughly 80% of the workforce. It is to be noted that the collection of Kendu leaves is the financial lifeline for the subsistence of the tribal communities”, the MP stated.
“Empathizing with the plight of Kendu Leaf Workers, the Hon’ble Chief Minister of Odisha, Naveen Patnaik made repeated requests to the Central Government for reduction of GST rates on Kendu leaf from 18% to 5%- before Late Shri Arun Jaitley, the then Union Finance Minister, on 29.11.2018, and before Smt. Nirmala Sitharaman, the Union Finance Minister on 17.12.2019. However, GST reduction was not considered. Recently, in light of the trade in Kendu leaves being negatively impacted by the 18% GST, and the situation worsened after the COVID-19 pandemic, the Hon’ble C.M. of Odisha has raised the request for complete withdrawal of GST on Kendu leaves, in his letter dated 25.11.2022, to the Union Finance Minister”, he further stated.
The BJD MP requested that the GST on Kendu leaves be removed in order to protect the livelihoods of the community that depends on collection of Kendu leaves for their subsistence.