Maharashtra to Lose Rs. 800-Crore in Gst Revenues Due to Plastics Ban: AIPMA

The plastics ban in Maharashtra is expected to lead to a GST loss of Rs. 800-crore, according to the All India Plastics Manufacturers’ Association (AIPMA). The Association has been opposing the ban.

With Maharashtra producing plastic products worth Rs. 50,000-crore, the ban will mostly affect SME players. Addressing a press conference recently, Mr. Hiten Bheda, President, AIPMA said, “The MSME and SME segment have already been impacted by GST and demonetisation and now the ban is expected to cripple their business further. About 2,150 units industrial units may be closed down due to the ban. The banned products alone would be about Rs. 5,000-crore.” In Maharashtra, plastics contribute about 35 per cent to the State’s GDP. “About 60 per cent of the plastics can be recycled, of which 95 per cent comprises PET bottles. We expect the GST revenue from the sales of disposable plastic items which are subject to the ban would amount to Rs. 800-crore,” he added.