NEW DELHI, Oct 12: Goa’s economy is set to grow with recent GST reforms cutting tax rates across multiple sectors, lowering costs, and boosting demand.
Tourism, a key driver employing around 2.5 lakh people and contributing 16.43% to Goa’s GSDP, benefits from reduced GST on essentials like toiletries, tableware, and fruit juices sold at beach shacks and kiosks.
The auto, taxi, and bike rental sector, supporting about 40,000 livelihoods, will gain from lower GST on small cars and bikes, reducing operating expenses for taxi unions and rental firms.
Goa’s pharmaceutical industry, concentrated in several industrial estates and responsible for over half of the state’s merchandise exports, sees reduced GST rates on many inputs, with some medical items now exempt, improving affordability and export potential.
Construction and real estate projects, including hotels and infrastructure, will benefit from lower GST on cement and other materials, aiding development across the state.
The fisheries sector, contributing 2.5% to GSDP, benefits from GST cuts on fishing nets, feed, and aquaculture inputs, supporting small-scale fishers and coastal communities.
MSME bakeries and the cashew industry, employing thousands, will also see improved competitiveness due to tax cuts on value-added products, boosting sales in domestic and export markets.
Additionally, Goa’s GI-tagged farm products like Khola Chilli and Myndoli Banana will benefit from lower GST rates, helping small farmers and cottage industries.
These reforms are poised to strengthen Goa’s diverse economy and spur growth across sectors. (IANS)
