Odisha CM writes to Centre over withdrawal of GST on Kendu leaves

Stating that Kendu, a minor forest produce, is the financial backbone of about eight lakh leaf pluckers, binders and seasonal workers most of  whom belong to the tribal community and poorest sections in the State,  Naveen said imposition of GST on the item has a negative impact on the implementation of welfare schemes meant for these targeted categories.

Bhubaneswar: Odisha Chief minister Naveen Patnaik has urged the Central government to consider withdrawal of Goods and Services Tax (GST) on Kendu (Tendu) leaf in the State as it is adversely affecting the trade and livelihoods of people dependent on it. In a letter dated 25.11.2022 to the Finance Minister and Chairperson of GST Council Niramala Sitharaman, the CM requested that the 18 per cent GST on Kendu leaf be rolled back in the greater interest of the State of Odisha as lakhs of people associated with the trade are getting affected.

Stating that Kendu, a minor forest produce, is the financial backbone of about eight lakh leaf pluckers, binders and seasonal workers most of  whom belong to the tribal community and poorest sections in the State,  Naveen said imposition of GST on the item has a negative impact on the implementation of welfare schemes meant for these targeted categories.

“The tribal people collect the leaves as part of their right defined under Scheduled Tribes and Other Traditional Forest Dwellers (recognition of Forest Rights) Act, 2006. They have the right to procure and sell these products. Imposition of GST (18 per cent) on Kendu leaves is adversely affecting the Kendu leaves trade. This in turn affects the livelihoods of Kendu leaves pluckers, binders & seasonal workers and implementation of the social security and welfare schemes for them. In the interest of the livelihoods of the Kendu leaves dependednt community it is urged upon to withdraw the imposition of GST on Kendu leaves for the greater interest of the State of Odisha,” the letter read.

 

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