Automakers, retailers lure customers with discount, as GST kicks in
the $2 trillion economy and 1.3 billion people into one of the world’s biggest common markets.
Maruti Suzuki Ltd, India’s biggest carmaker by sales, dropped prices on some models by up to 3%, passing the “entire benefit of GST rates” to customers.
Maruti, however, said prices of two mild hybrid models had increased under the GST regime, following withdrawal of tax concessions.
Tata Motors’ luxury Brit- ish arm, Jaguar Land Rover ( JLR), has reduced prices for all cars manufactured in India by up to 7 percent, a spokeswoman for the company told Reuters.
Hypermarket Big Bazaar, owned by Future Retail Ltd, announced discounts of 2 percent to 22 percent on groceries and household supplies across its stores in 26 states.
Fashion portal Myntra, part of India’s biggest online retailer Flipkart, was also offering GST discounts.
In Bhubaneswar, the capital of eastern Odisha state, customers queued up out- side shops and malls, which remained open till late Friday night to clear stocks of watches, electronic gadgets, cosmetics and gold at discounted rates before the GST regime kicked off at midnight.
Members of Prime Minister Narendra Modi’s Bharatiya Janata Party (BJP) were seen celebrating the launch of the GST with firecrackers on Friday evening and by painting “Welcome GST” slogans on roads.