Srinagar, Dec 21 (KNS) : In a major relief for artisans and traders in Kashmir’s iconic handloom industry, Chief Minister Omar Abdullah has confirmed that there will be no hike in the Goods and Services Tax (GST) on shawls this year. The announcement comes amid growing speculation about potential increases in taxation on Kashmir’s traditional products, which include the highly prized Pashmina shawls.
Addressing the issue on X (formerly Twitter), the Chief Minister sought to put an end to the rumors surrounding the GST hike. “There had been a lot of speculation that GST on shawls will be hiked, so we had come prepared to ensure that wouldn’t happen. Thankfully, it wasn’t taken up, and we will also ensure that in the future also, something like this is not considered,” he stated.
The clarification has been warmly welcomed by artisans and business stakeholders within Kashmir’s handloom and handicraft sector. The industry, renowned globally for its exquisite craftsmanship, was anxiously awaiting confirmation on the GST issue, fearing that an increase would further burden a sector already facing several challenges.
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A potential rise in GST could have posed severe difficulties for the handloom sector, which is grappling with issues such as a decline in demand, growing competition from machine-made imitations, and rising production costs. Business chambers in Kashmir had previously voiced concerns, highlighting the negative impact that a higher GST rate would have on the industry, which is a major source of livelihood for thousands of artisans and traders in the region.
This announcement not only offers immediate relief to those involved in the shawl trade but also assures them of the government’s commitment to safeguarding the interests of the handloom industry in Kashmir. The clarification signals a positive step toward protecting the legacy of Kashmir's renowned shawl industry, which remains a vital part of its cultural and economic identity. (KNS)