24.01.2023: Bicycle industry seeks GST relief in Budget

GSTThe bicycle industry is passing through a recessionary phase and the Central or state governments have failed to address the issue, claimed industrialists.

Avtar Singh Bhogal from Bhogalsons said the greatest threat to the cycle industry is from China. “China is sending under-billed parts and products. Many of the small time dealers on Gill Road have having the bill of Rs 1,300 per cycle whereas the gear-changer alone is priced at Rs 2,000. How can we compete with them in this tax evasion? We have submitted memorandums to the government too and hope that in this upcoming budget, steps will be taken by the Indian government to save the bicycle industry,” he said.

Former president of United Cycle Parts Manufacturers Association (UCPMA) Charanjit Singh Vishkarma said there are 2-3 major issues, which should be addressed in the Union Budget. “The major threat is from China. Bicycle parts which are manufactured here should be banned from China. Secondly, the GST on bicycle should be reduced to 5 per cent instead of 12 per cent. The issue of reflectors is there, we should be given little breather as now in the recessionary phase, putting extra money on reflectors would not be viable,” said Vishkarma.

FICO general secretary Rajiv Jain said, “The government should provide special subsidies for MSMEs to promote Make in India products. The entire bicycle industry wants hike in import duty.”

Source: The Tribune

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