4 Sep 2025 : Indian business leaders, including Radhika Gupta, Harsh Goenka and Anand Mahindra, have welcomed the GST Council’s decision to move to a simplified two-rate structure of 5 per cent and 18 per cent from September 22.
Sharing her views on X, Radhika Gupta, MD and CEO of Edelweiss Asset Management, said, “Extremely progressive step at a very critical time that should help boost both demand and sentiment! When the world pushes us into a corner, we push ourselves to fight back harder.”
Anand Mahindra, chairman of the Mahindra Group, echoed similar optimism. “We have now joined the battle… More and faster reforms are the surest way to unleash consumption and investment. Those, in turn, will expand the economy and amplify India’s voice in the world. But let’s remember the famous exhortation of Swami Vivekananda: ‘Arise, awake, and stop not till the goal is reached.’ So, more reforms, please…”
Industrialist Harsh Goenka termed the move a “big Diwali gift” for citizens. “Big Diwali gift for every Indian! GST on daily essentials, healthcare, education & farming inputs slashed. Cheaper groceries, Relief in healthcare, Affordable education, Support for farmers,” he wrote on X, adding that the reform was a step toward a “Next-gen GST” with dual benefits of easing living and boosting the economy.
GST Council’s rate cuts bonanza
The reactions come after Union finance minister Nirmala Sitharaman on Wednesday announced sweeping reductions in Goods and Services Tax (GST) rates on essentials, automobiles, electronic appliances and agricultural inputs.
The 56th GST Council meeting decided to rationalise rates into two slabs by merging the existing 12 per cent and 28 per cent categories.
Leaders across the Mahindra Group also praised the move. Rajesh Jejurikar, executive director and CEO of Auto and Farm Sector at Mahindra & Mahindra, said, “We applaud the Government for this landmark GST rationalisation, which will have a far-reaching positive impact across the automotive and farming sectors… Together, these measures are expected to stimulate demand and drive inclusive growth across the entire ecosystem. We also appreciate the continuation of the 5% GST rate on EVs, which is a critical enabler of India’s clean mobility vision.”
RP-Sanjiv Goenka Group chairman, Sanjiv Goenka, also lauded the citizen-first approach. “Welcoming the #NextGenGST reforms that place citizens first. By making essentials affordable, supporting healthcare and education, and empowering agriculture, these reforms also provide fresh momentum to the economy. A reflection of Hon’ble PM Shri @narendramodi’s leadership and FM @nsitharaman’s strategy for inclusive growth,” he posted on X.
Summary:
Business leaders welcomed the GST Council’s decision on rate cuts, calling it a “Diwali gift” that will boost demand, ease costs, and strengthen economic growth.