(MENAFN- IANS) New Delhi, Oct 9 (IANS) Recent GST reforms will boost demand and profitability in Arunachal Pradesh's leading sectors and industries, including agriculture, horticulture, processed foods, handicrafts, textiles, bamboo and cane furniture, the government informed on Thursday.

Lower rates reduce consumer prices by approximately 6–11 per cent on processed foods and bring cost savings on products including shawls, carpets, plywood, and yak-churpi-by Rs 560–Rs 7,000, enhancing margins for thousands of tribal artisans, SHGs, and MSMEs, an official statement said.

Further, the reforms will also strengthen domestic and export market access, promote traditional and GI-tagged products, and drive sustainable growth, employment, and inclusive development across the state.

Arunachal Pradesh produces the GI-tagged Arunachal Orange, known for its distinct sweet-sour taste from high TSS and acidity- and its processed forms such as dried citrus, juices, and jams/jellies.

The GST cut from 12 per cent to 5 per cent on juices and jams makes prices 6.5 per cent lower, supporting processors, reducing post-harvest losses, and boosting competitiveness, the statement said.

The recent GST reduction on kiwi and processed products has cut prices by ~6.5 per cent, boosting MSME participation, supporting value addition, and reinforcing the objectives of the Kiwi Mission 2025, the release said.

Arunachal Pradesh is India's largest kiwi producer, producing over 50 per cent of national output.

While GST on spices continues to be 5 per cent, the recent reduction in GST rates on agricultural inputs such as tractors and parts- from 12-18 per cent to 5 per cent, lowers input costs by 7-13 per cent, thereby enhancing profitability for large cardamom growers in Arunachal Pradesh.

Women of the Idu Mishmi tribe in Arunachal Pradesh weave geometric designs with mythological symbolism in Dibang Valley and Lower Dibang to maintain their weaving heritage. About 2,000-3,000 of Arunachal Pradesh's 94,000 weavers rely on this trade for their livelihood. The GST reforms reduce taxes by up to Rs 560 on a Rs 8,000 shawl, boosting artisans' profitability and preserving traditional craft, the release noted.

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