EFFECT OF GST ON MOAJRI AND JUTTI CRAFT

India is a country of rich culture, history and heritage. It is a major producer and supplier of handicrafts product since ancient age. It earned a potential economic advantage for the country. In India Rajasthan is often called the “shopper's paradise.” It become popular in livestock craftsmen, her usually created various kinds of innovative and artistic leather craft later on Jaipur, Jodhpur, Jaiselmer, Udaipur & Barmer developed as center of leather craft such as “Nagri” “Mojari” “Jutti” and become famous for “Salmasitra” and “Kashidakar”,. The jutti (Punjabi: ਜ ੁੱ ਤੀ) or Punjabi Jutti (Punjabi: ਪੰ ਜਾਬੀ ਜ ੁੱ ਤੀ) is a type of footwear common in North India and neighbouring regions. They are traditionally made up of leather and with extensive embroidery, in real gold and silver thread in olden days. In current budget (2017-18) finance minister has declared it would be based on the scheme relating to textile announced last year. He said we have started an attractive scheme for textile sector. New scheme would be brought for leather & footwear sector. In June, 2016 a scheme with an outlay of 6000 corer was started for apparel &textile sector by Govt. New jobs would be generated in next three years. It would attract an investment of 11 billion dollar & export of about 30 billion dollars. Leather footwear may pinch under GST as prices likely to rise 5 to 7%. The purpose GST rates may push up prices of footwear across categories, while leather as a segment is most likely to be hit due to high rates. The GST rates council meeting, chaired by finance minister Arun Jaitly said categorised footwear into two tax slabs like those priced below Rs500 will be taxed at 5%, while others will be taxed 18%. According to CFLA (Council for Footwear, Leather and Accessories) expecting a potential price rise of 5 %to 7% in leather segment. There might not much change in non leather prices but overall, there is a huge disappointment in the industry, adding that the industry was expecting a lower slab rate.