India’s Next-Gen GST reforms have sparked a “double dhamaka” of relief and prosperity, fueling record-breaking consumer and manufacturing growth across the country, a group of Union Ministers said on Saturday asserting that the reforms, which came into effect on the first day of Navratri, have led to a surge in consumer spending, industrial growth, employment generation, and technological advancement.
Union Ministers Nirmala Sitharaman (Finance and Corporate Affairs), Piyush Goyal (Commerce and Industry), and Ashwini Vaishnaw (Railways, Information and Broadcasting, Electronics & IT) jointly addressed the media in New Delhi to celebrate the transformative impact of the newly implemented Next-Gen GST reforms under the banner of “GST Bachat Utsav.”
In her opening remarks, Sitharaman highlighted the timely execution of the reforms announced by Prime Minister Narendra Modi from the Red Fort.
“Rate reduction, simplifying the process, bringing down the number of slabs from four to two, and resolving classification-related issues have all been completed well before time. Next-Gen GST Reforms came into effect from the first day of Navratri, and I feel the people of India have received it well,” she said.
Sitharaman emphasized the government’s commitment to passing on benefits directly to consumers, stating, “We set the course for GST, we implemented it. The Opposition neither brought GST nor even dared to attempt it. What we are doing today is not a correction, but a conscious decision—a reflection of cooperation between the Central Government and the GST Council to pass on greater benefits to the people.”
She further assured close oversight. “Since September 22, we have been receiving information from zonal levels on all items. We have been closely monitoring the prices of 54 products to ensure that the benefits of the revised tax structure are reaching the end consumers. The Next-Gen GST benefits have been fully passed on across all 54 items,” she said.
Goyal expressed gratitude towards the Prime Minister and Finance Minister for making this Navratri special with the launch of the next-generation GST.
“This reform has brought new excitement and energy across the country—among common people, industry, and households. It’s the biggest reform since independence,” he said, highlighting the relief of Rs 2.5 lakh crore provided through direct and indirect tax measures.
Goyal underscored the reform’s multiplier effect on the economy and said, “The surge in investment, business, and consumer spending is already visible. When infrastructure development and essentials become more affordable, the combined push from supply and demand accelerates India’s growth, making us the fastest-growing large economy in the world.”
Notably, Goyal pointed to the Navratri season’s historic auto sales surge, with Maruti, Mahindra, and Tata setting new benchmarks. He also highlighted major tax reliefs on health, insurance, and essential goods aimed at boosting affordability for citizens.
Vaishnaw highlighted India’s booming electronics sector, powered by GST reforms.
“This Navratri witnessed record-breaking electronics sales, a 20–25% increase over last year. Major retail chains reported unprecedented demand across TVs, washing machines, smartphones, and air conditioners. Even 85-inch TVs sold out completely, reflecting rising consumer confidence,” he said.
Vaishnaw praised the structural stability brought by GST reforms, especially benefiting middle-class households with a deflationary food inflation trend over the past four months, helping maintain purchasing power.
He further revealed the manufacturing sector’s robust growth and said, “Double-digit growth in electronics manufacturing has generated employment for over 25 lakh people nationwide. India has surpassed its neighbor in smartphone exports to the US, with a major global company manufacturing 20% of its production here.”
Addressing India’s semiconductor ambitions, Vaishnaw announced, “Production has commenced at two semiconductor manufacturing facilities—CG Semi and Kaynes—marking a crucial step towards semiconductor self-reliance in line with the Prime Minister’s vision of a technologically empowered Bharat.”
On the macroeconomic front, Vaishnaw noted, “Out of India’s Rs 335 lakh crore GDP last year, Rs 202 lakh crore came from consumption and Rs 98 lakh crore from investment. This year, consumption increased nearly 10%, reflecting an additional Rs 20 lakh crore in consumer spending. This rise is driving further investments, reinforcing sustained growth.”
The joint press conference underscored the government’s strategic use of GST reforms to catalyze consumer relief, industrial growth, employment generation, and technological advancement—paving India’s path toward a prosperous and self-reliant future.