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GST 2.0: Essentials Still Getting Smacked, Durables Flexing!

GST 2.0: Essentials Still Getting Smacked, Durables Flexing!

Listen up, folks! A study from the National Institute of Public Finance and Policy reveals that since GST 2.0 dropped in September 2025, essentials are still getting smacked around by prices, while durables like ACs and cars are strutting their stuff with price cuts! It’s a tale of two markets, and right now, essentials are in a headlock while durables are flexing their muscles!

Quick rundown

  1. Lower GST rates haven't lowered consumer prices for essentials.
  2. Consumer durables show clearer price relief post-GST restructuring.
  3. Essential goods exhibit weak tax pass-through despite rate cuts.
  4. Airfares increased sharply due to higher tax rates in certain categories.
  5. Market dynamics and demand elasticity influence price adjustments.

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