The Yamunanagar plywood manufacturers have requested the Haryana Government to reduce GST on plywood from 18% to 5%, stating that such a move will strengthen the state’s economy and generate employment opportunities.
JK Bihani, the President of the Haryana Plywood Manufacturers Association, had written a letter to Chief Minister Nayab Singh Saini, which it was encouraging that the Group of Ministers (GoM) had proposed the elimination of two GST slabs, 12% and 28% and retention of only two slabs, 5% and 18%.
“Plywood deserves to fall under the 5 per cent slab. Being a member of the GST Council, you (Chief Minister) are requested to push this agenda. Plywood is directly connected with lakhs of farmers, irrespective of their states. 60 per cent of our raw material is farm-grown timber,” Bihani wrote.
Outlining the contribution of the sector to the environment, he cited that more and more trees continue to exist on farmland with the help of plywood factories, which enhances the environment and fixes carbon.
Yamunanagar is one of the biggest plywood clusters in India, having around 350 plywood factories and nearly 700 peeling, band mill, and chipper factories. The industry has the employee strength of lakhs of unskilled workers, but also upholds many allied job activities, Bihani added.
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For the general public, Plywood is crucial because solid wood furniture has been substituted by plywood. For the past 30 years, Haryana has been a major plywood manufacturing hub. A major enhancement to the economy and employment in the state shall be facilitated under the GST reduction.
