Petition to Arun Jaitley for a review for lowering the GST rate for Ayurvedic category.

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As the Prime Minister is doing his best to boost the AYUSH system, the government is aggressively promoting Ayurveda globally. This has opened new avenues of employment generation in the field of Herbi-culture, Agriculture, Ayurvedic Practitioners, Yoga, Naturopathy, Ayurvedic product manufacturing and Ayurvedic Therapeutic Centres across the country. It is a fact that “Good health and healthy living is common man’s basic right and expectation. In such a scenario, as the field of Ayurveda is ancient and proven source of reliable therapy for centuries and provides health care & cure to the common man at affordable price, doesn’t deserve any Taxation if the Government is truly welfare oriented.

Ayurveda utilizes natural herbs, forest & agricultural produce as basic raw material. For the production of Herbal medicines, locally available utensils, manpower is being utilized. This led to the source of income for such Tribals, labourers. Thus the field of Ayurveda is one of the potential lively-hood providers for illiterate/ severely backward communities across the country. This kind of classical production mechanism is keeping the end product cheaper and affordable for people’s ailments. High tax incidence under GST will make the natural medicines costly and out of reach of the common people. GST rate for the Classical or Generic range of Ayurvedic Medicines must be NIL, in the interest of the Public.

At present the Ayurvedic medicines and products have a total tax incidence of 7%, including VAT, depending on the items. Under the GST regime, these items have been kept at 12%.The high tax rate proposed under GST “will make Ayurvedic, Siddha and Unani medicines out of reach of common man and ultimately kill the system of small and cottage industries in this field. 

In view of the foregoing, it is humbly requested to review the GST rates and kindly place all Generic/ Sastric Ayurvedic Medicines and preparations under NIL rate and all Patented Ayurvedic Drugs, preparations under 5% rate under GST regime in the interest of the Public.



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