V-Mart's Agarwal: GST cut to 5% could lift affordable fashion, but input tax still bites
MD Lalit Agarwal says GST rationalisation from 12% to 5% could boost consumption among middle/lower-income shoppers, where 85% of products sell below ₹1,000 at an average ₹340. But he warns gains are capped unless 18% GST on inputs and services is also cut, and flags ₹100 crore in stuck refund credits.
V-Mart MD Lalit Agarwal says GST rationalisation from 12% to 5% could boost affordable fashion consumption among middle/lower-income shoppers, but warns benefits are limited unless input and service GST is also cut. Flags ₹100 crore stuck refunds.
Why this matters
Reinforces V-Mart's GST-led demand thesis after targeting ~20% festive sales growth and guiding 18-20% FY27 revenue growth, but flags input-tax and refund drags on margins.
Retail-company signals steady at 4,133 over the past 90 days.