The GST council, the highest decision-making body for the goods and services tax in India, has announced a key reform that will see the tax on ethyl alcohol reduced to 18%. This move is expected to boost the country's foreign exchange reserves, as it will make Indian ethanol more competitive in the global market.
Ethyl alcohol, also known as ethanol, is a key ingredient in many products, including alcoholic beverages, hand sanitisers, and personal care products. It is also used as a biofuel in many countries. The reduction in tax on ethanol will make it cheaper for manufacturers to produce, which will in turn make it more attractive to foreign buyers.
The GST council's decision to reduce the tax on ethanol is being seen as a major reform, as it will have a positive impact on the country's trade balance. It is expected to increase exports of ethanol, which will help to boost the country's foreign exchange reserves. India has been one of the largest producers of Ethanol .
The decision to reduce the tax on ethanol by the GST council has been welcomed by industry experts, who say it will help to boost the competitiveness of Indian ethanol in the global market. It is also expected to create new job opportunities in the sector, as manufacturers will be able to expand their operations and increase production. The reduction of the tax on ethanol is being seen as a positive step towards improving the country's trade balance and boosting its foreign exchange reserves.
the tax reduction is also expected to have a positive impact on the economy, as it will create new job opportunities and increase exports.
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