GST rate cuts: Fast-moving consumer goods (FMCG) giant, ITC Ltd, on Thursday, 18 September 2025, announced that the company has decided to pass on the full benefit to its customers across the firm’s portfolio range, after the central government-led GST council decided to revamp the existing tax structure in the economy.
B Sumant, the executive director of ITC, said the reforms have been “transformative for both consumers and businesses,” easing compliance and supporting growth.
“The GST rate rationalisation across various sectors will surely bring relief to consumers through enhanced affordability, boosting consumption, and strengthening investments, growth and employment. At ITC, we will pass on the full benefits of the GST rationalisation across applicable products,” Sumant said.
The company said its FMCG businesses span a wide range of categories and products, reaching nearly 7 million retail outlets across India.
“Necessary steps are also being taken to notify consumers about the ensuing benefits,” Sumant added.
The central government’s GST Council, in its 56th meeting on 3 September 2025, announced that the committee has recommended that India have two GST tax slabs, one at 5% and another at 18%, compared to its earlier multi-slab structure.
The revamped GST structure is set to become effective from 22 September 2025.
Auto price cuts
Auto companies like Maruti Suzuki announced their own price cuts due to the GST council’s rate rationalisation move. India’s largest automaker is currently capitalising on the sub-four-metre car segment, which comprises a large portion of the company’s portfolio.
Mint reported earlier that Maruti Suzuki passenger cars are set to get up to ₹1.29 lakh cheaper from 22 September 2025, on the same day the revamped GST structure is set to take effect.
Other companies in the automotive sector, like Mahindra & Mahindra, Tata Motors, TVS Motor Co., Yamaha, Honda Cars, Hero MotoCorp., are among other companies that have announced their price cuts on the ex-showroom prices of the vehicles after the GST rate cuts in the Indian economy.
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