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The Ministry of Mines has confirmed that several mining-sector products, including marble, granite, lime bricks, and stone inlay work, will now attract a reduced GST rate of 5 per cent instead of 12 per cent. This is expected to lower construction costs, particularly in rural housing projects. Household items such as brass stoves, aluminium utensils, and copperware, along with handicrafts, will also become cheaper. The GST on multimodal transport of goods has been cut as well, which will benefit iron ore and mineral movement. These changes come under the GST Council's recent overhaul, with new rates applying from next week.
The Ministry of Mines has said that the latest changes in GST rates for goods linked to the mining sector will support the housing industry, artisans, and small-scale enterprises. The revision, introduced last week, reduces GST on many products from 12 per cent to 5 per cent. Advertisement
Key materials such as marble and granite, widely used in housing projects, are among those placed under the lower tax rate. Their extraction is concentrated in Rajasthan, Gujarat, and Karnataka, making these states important beneficiaries. The ministry noted that lime bricks and stone inlay work will also be taxed at 5 per cent, which is expected to reduce construction costs for affordable housing in rural areas.
Basic household products have also been included in the revised rates. Brass kerosene pressure stoves, which are common in rural kitchens, will become cheaper. Utensils and containers made of copper and aluminium, such as milk cans and other daily-use items, will also attract lower tax, providing relief to rural families and small traders.
The ministry added that handicrafts made of brass, aluminium, and copper alloys electroplated with nickel or silver will also move to the 5 per cent slab. This reduction is likely to help artisans and small businesses involved in handicraft production.
On the services side, the GST Council has reduced the rate on multimodal transport of goods within India from 12 per cent to 5 per cent, with limited input credit. This change is particularly significant for the mining and mineral industry, especially in the transport of iron ore, which involves long-distance movement.
The new GST structure is part of a wider restructuring approved in the 56th meeting of the GST Council. Going forward, most goods and services will be taxed at either 5 per cent or 18 per cent. A separate 40 per cent slab has been reserved for ultra-luxury products and tobacco-related goods. The new rates are set to take effect from next week.
Source: PTI
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