'Flat 5% GST on all garments': Telangana textile body

Business Sep 24, 2025

The Telangana State Federation of Textile Associations wants the GST Council to set a flat 5% GST on all ready-made garments, no matter the price.
Right now, anything above ₹2,500 gets hit with an 18% tax—something the federation says could hurt both shoppers and sellers.

Textile sector's importance

Textiles aren't just about fashion—they power jobs for over 45 million people in India, many from rural areas and women.
Federation president Ammanabolu Prakash points out that higher taxes could mean fewer sales and lost jobs in a sector that makes up 2.3% of India's GDP.
A single low tax would make clothes more affordable and support the textile industry.