Maneesh Agrawal, Chief Financial Officer, Nuvoco Vistas Corp Ltd
However, we believe that a GST rate of 18 per cent on cement would have given the required impetus to the sector. After all, cement is an essential component of infrastructural development and higher tax rates translate into higher price points. In addition, it is also necessary to remind ourselves of the environmental contribution that cement makes, by absorbing the polluting residues of power and steel. The 18 per cent taxation rate would have not only driven up retail demand but also brought down housing prices significantly, which again is a national agenda of the current Government.
This is adding to better transparency which is expected to result in higher GST collection for Government.