New Delhi, Sept 4: Union Education Minister Dharmendra Pradhan on Thursday hailed the revised Goods and Services Tax (GST) slabs as a transformative step for Odisha’s economy and its people.

Addressing the media, Pradhan emphasized that the new tax structure will directly benefit tribal communities, farmers, and middle-class families across the state.

One of the most impactful changes is the reduction of GST on kendu leaves from 18% to 5%. Kendu leaves, often referred to as “Green Gold” in Odisha, are a vital forest produce and a major source of livelihood for tribal populations, especially in districts like Keonjhar, Nabarangpur and Malkangiri. The lowered tax rate is expected to boost procurement, improve earnings for pluckers, and enhance market competitiveness.

Another significant revision is the increase in GST on coal from 5% to 18%, which will result in a 9% revenue gain for Odisha. This is particularly beneficial for the state’s western region, where coal mining is a key economic activity. The additional revenue is likely to strengthen Odisha’s fiscal position and support infrastructure development.

In a move welcomed by the agricultural sector, GST on farm tools has been reduced, and insurance premiums have been exempted from GST altogether. These changes will ease financial burdens on farmers, promote productivity, and improve access to healthcare through affordable insurance options.

Pradhan stated, “These reforms are not just fiscal adjustments—they are social enablers. They will uplift students, farmers, and common citizens by making essential services and tools more accessible.”

Also Read: ‘Early Diwali Gift’: Union Minister Dharmendra Pradhan Lauds PM Modi’s Historic Tax Decision

The GST overhaul aligns with the Centre’s broader vision of inclusive growth and economic empowerment, especially in states like Odisha where forest produce and coal are integral to livelihoods and revenue.

Notably, The GST Council on Wednesday unanimously approved rate cuts on scores of items of daily use, making most goods and services cheaper.

Briefing media after the 56th GST council meeting in New Delhi yesterday, Union Finance Minister Nirmala Sitharaman said the new rates will come into effect from the 22nd of this month, the first day of Navratri festivle delivering on Prime Minister Narendra Modi’s Independence Day promise of a GST Diwali gift.

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