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Odisha CM welcomes GST reforms, highlights benefits for state's residents

Published By : admin | September 4, 2025 12:40 PM
Odisha CM welcomes GST reforms, highlights benefits for state's residents

Bhubaneswar, Sept 4:Odisha Chief Minister Mohan Charan Majhi has expressed his support for the Narendra Modi government’s Goods and Services Tax (GST) reforms, stating that they will provide direct benefits to the people of Odisha. Addressing a press conference in New Delhi, Majhi outlined the positive impact the reforms will have on various sectors within the state.

One of the key highlights of the reforms, according to Majhi, is the reduction of GST on kendu leaves from 18% to 5%. He emphasized that this move will significantly benefit kendu leaf pluckers in Odisha, improving their earnings and increasing sales. Majhi explained that the reduction in GST would allow government procurement agencies to purchase more kendu leaves, ensuring higher prices for workers, especially in deregulated areas.

“The reduction of tax on kendu leaves will lead to increased sales volume through government agencies and better prices for workers. This will have a direct positive impact on the livelihoods of those involved in kendu leaf collection,” Majhi said.

The Chief Minister also pointed out the advantages of the GST reforms for the agricultural sector in Odisha. With the reduction of GST on agricultural equipment, farming costs are expected to decrease, providing relief to farmers. This, he said, would enhance agricultural productivity while easing the financial burden on cultivators, contributing to the overall economic growth of the state.

“It will lower production costs, make farming tools more affordable, and encourage growth in the agricultural sector. This will strengthen rural income and contribute to food security, both in Odisha and across the nation,” Majhi added.

In addition to the agricultural benefits, Majhi highlighted the positive impact of the GST reforms on Odisha’s coal sector. With the rationalization of GST, the coal industry in the state is expected to see growth, strengthening the state’s revenue base and boosting its economy.

The Chief Minister also noted the benefits for middle-class and lower-middle-class families, especially with the GST exemption on health insurance. This move is expected to make health insurance more accessible, providing greater healthcare security for households and offering financial relief to families.

Majhi concluded by expressing his gratitude to Prime Minister Narendra Modi and Union Finance Minister Nirmala Sitharaman for implementing the historic Next-Generation GST reforms. In a tweet, the CM lauded the central government’s efforts, calling the reforms a transformative milestone for the nation.

“Odisha extends heartfelt gratitude to Hon’ble Prime Minister Shri @narendramodi Ji and Union Finance Minister Smt. @nsitharaman Ji for ushering in the historic Next-Generation GST reforms. These reforms empower MSMEs, create jobs, boost consumption, and enhance the financial capacity of our people. This is a true testament to a people-centric Government committed to the welfare of every section of society,” Majhi wrote in his tweet.