HP Horticulture Director Reports that No Apple Growers Claimed GST Reimbursement

After more than a month of protest, the government led by Jai Ram Thakur announced that, subject to certain conditions, it would reimburse farmers for the 6% GST they spent on cartons and trays.

The announced 6% GST reimbursement for apple packaging material has not been utilized by any apple growers in Himachal Pradesh. Apple growers were opposed to the Centre’s announcement this year to raise the GST on cartons and trays from 12% to 18%.

After the horticulture department checked the applications, the HP Horticulture Produce Marketing and Processing Corporation (HPMC), a government organization, was supposed to pay the orchardists back the money. However, despite the fact that cartons worth 4.25 crore rupees were sold this year, not a single fruit grower applied for reimbursement.

Orchardists, on the other hand, have been placing the blame for their inability to apply for GST reimbursement on the government and the system. Sanjay Chauhan, co-convener of Samyukta Kisan Manch and former Shimla mayor, stated that fruit growers had requested that the government provide cartons with a 6% GST exemption. In addition, he stated, “The conditions on the GST reimbursement norms were impractical.”

Sanjeev Verma, a fruit farmer, said that most carton sellers didn’t give farmers their purchase bills. “In such a circumstance, it was unrealistic to apply for GST repayment. Input costs are already rising in the apple industry. Packaging materials should be GST-free next season if the government is concerned about fruit growers, he added.

The price of trays went up from ₹150 to ₹300 per bundle and from ₹12 to ₹20 per carton after the GST hike.