New Delhi: A delegation of BJD MPs on Wednesday met Union Finance Minister Nirmala Sitharaman here and demanded withdrawal of 18 per cent GST imposed on kendu leaf.
The delegation of BJD members from both the Houses of Parliament including Dr Amar Patnaik, Dr Sasmit Patra, Pinaki Misra, Achyut Samanta, Sulata Deo, Niranjini Bishi and Mamata Mahanta has submitted a memorandum to the Union Finance Minister to put forth their demand.
In their memorandum, the MPs said Kendu (tendu) leaf, a minor forest produce (MFP) is the financial backbone of about 8 lakhs kendu leaf Pluckers, binders and seasonal workers of Odisha, mostly belonging to the tribal community and poorest of the poor of the society.
The tribal people collect the leaves as part of their right defined under Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006. They have the right to procure and sell these products.
Imposition of GST (18%) on Kendu (Tendu) leaves is adversely affecting the Kendu leaves trade. This in turn affects the livelihoods of Kendu leaves Pluckers, binders and seasonal workers and Implementation of social security and welfare measures for them, the MPs told Sitharaman.
In the interest of the livelihoods of the Kendu leaves dependent community, they urged upon the Union Minister to withdraw the imposition of GST on Kendu leaves for the greater interest of the State of Odisha.
“We, the Biju Janata Dal MPs from Odisha, as public representatives of the tribal communities in Odisha are seeking withdrawal of the imposition of GST on Kendu (Tendu) leaf. The withdrawal will strengthen the lives and livelihood of 8 lakhs Kendu leaf Pluckers, binders and seasonal workers of Odisha, mostly belonging to the tribal community and poorest of the poor of the society and will also strengthen the intention of empowering tribals through Forest Rights Act, 2006, and PESA Act, 1996,” they said in the memorandum.
Earlier, Chief Minister Naveen Patnaik had written to Sitharaman in last month for the withdrawal of imposition of GST on kendu leaves.
In the 48th GST Council meeting held on December 17 last, Odisha’s Finance Minister Niranjan Pujari had also raised the demand for exemption of the GST on Kendu leaf.
Pujari had stated in the GST Council that the 18 percent tax on the forest produce is against the Forest Rights Act, 2006, and PESA Act, 1996 as it affects the livelihood of Kendu leaf Pluckers, over 90 percent of whom are tribals, besides the binders and seasonal workers.