The Government of India has stated that the benefits of the GST rate rationalisation announced in the 56th GST Council meeting are being successfully passed on to consumers, as per ongoing monitoring by the Central Board of Indirect Taxes and Customs (CBIC). The clarification was issued by Minister of State for Finance Shri Pankaj Chaudhary in response to a question in the Lok Sabha.
CBIC Monitoring Prices of Key Goods After GST Rate Cuts
Following the GST rate reductions effective 22 September 2025, the CBIC has been monitoring the prices of important commodities, including packaged foods and medicines, comparing prices before and after the rate rationalisation to ensure consumers receive the full benefit. According to the Finance Ministry, inputs received so far confirm that the benefit of reduced GST has indeed been passed on to the general public.
Meetings With Trade Bodies to Ensure Compliance
To ensure smooth implementation, the CBIC held meetings with trade associations and representatives of line ministries. These bodies were instructed to ensure their members reflect revised prices in accordance with the new GST rates. The government also launched print and social media campaigns to spread awareness about the revised rates and consumer rights.
NPPA and Consumer Affairs Issue Directions on Revised MRPs
The National Pharmaceutical Pricing Authority (NPPA) issued office memorandums on 12 and 13 September 2025 directing all pharmaceutical manufacturers and marketing companies to revise MRPs of drugs and medical devices to align with the new GST rates. Additionally, the Department of Consumer Affairs advised manufacturers and importers (through its 18 September 2025 advisory) to affix revised price stickers on unsold stocks manufactured before the rate change, as long as the original MRP remains visible. The CBIC also uploaded FAQs on its website to guide stakeholders on compliance requirements.
Consumer Complaint Mechanisms Active
Consumers who do not receive the benefit of GST reductions can register complaints through:
- National Consumer Helpline (NCH)
- INGRAM grievance portal: The CBIC has nominated a Nodal Officer to coordinate responses to such complaints, and appropriate action is being taken when complaints are supported by evidence.
Government Says Price Drop Visible Despite Concerns
While some MPs flagged concerns that the public was not experiencing noticeable price reductions even after two months of the GST cut, the Finance Ministry reiterated that official monitoring shows the benefits have been passed on, based on the data collected so far.
Official copy of the data has been attached
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