Come October, Brick Kiln Owners Announce Halting Of Production, 12% GST And New Guidelines Bone Of Contention

| Updated: September 18, 2022 12:52 pm

Red brick manufacturers in Gujarat are protesting a new Central Government policy that will have an unfavorable effect on the sale of the commodity. They fear that it will decrease its usage and make brick manufacturers’ lives more difficult. To mark the protest against the latest guideline and increase in GST rates, the Gujarat Brick Manufacturers Federation has announced that they will not begin production in the new season beginning in October.

According to a statement issued by Maherandra Prajapati, the joint convenor of the Gujarat Brick Manufacturers Federation’s agitation committee, “the central government sent notification in February and made some rules to be implemented next year.” According to the new rules, all brick kilns must be converted into zig-zag patterns, which requires large investments and is technically impossible for all manufacturers.”

“According to the new rule, brick manufacturing units should be at least 1km away from other units,” he added. 800 meters from residential areas On the other hand, the government has prohibited the use of red brick in buildings larger than 20,000 square meters.”

In terms of GST, the composition scheme’s GST rate has been raised to 12% from 5%, while the lump sum tax remains in effect. The rates have been raised to 6% from 1% under the new guidelines. We demand that they remove all of the new notifications. Small brick manufacturers will not be able to survive otherwise, according to Prajapati.

The Gujarat Brick Manufacturing Federation has also written to Prime Minister Narendra Modi and Gujarat Chief Minister Bhupendra Patel about their concerns. The government intends to promote fly ash bricks, but the Federation claims that their durability is inferior to that of red bricks.

In Gujarat, there are 1200 old brick kilns, each of which produces 30 to 40 lakh bricks per year. This industry employs more than 5 lakh people.

Also Read: July GST Collection Records Y-O-Y Rise Of 28%; Gujarat Marks 20% Growth

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