The biggest change GST has brought in to Wood panel Trade is ‘everyone has learnt to pass on the tax to next level’ theoretically. The change in mindset is phenomenal and it is acting as a cleansing agent in itself. The biggest benefit wood panel industry has witnessed in last 30 days is ‘Traders have come to terms to charge taxes extra from customers’ which is the desperately awaited change GST has brought in. In just 30 days, people are heard saying, GST means ‘Work with bill, Work in books, Work with cheques and Work with timely Paymasters’. The Gyan of organized working seems to have penetrated ‘Jugaadu minds’ when they realized two simple truths:
1. Business ought to be GST way or no way.
2. Why to manipulate when buyer is paying tax? The magic of ‘Input’ has changed the whole system.
As an avid traveler & researcher, I love to conduct primary research myself whenever I get a chance. I firmly believe that fear for GST will be a forgotten thing in 2018. Trade will simply talk about ‘Product quality, Price and Service’. With more pressure for performance, wood panel industry shall evolve and new businesses will reborn to cross 500 crore. Come September and markets will ask for dispatches which will help in bringing confidence back to entrepreneurs. While reading this, you must be feeling an agreement to this sentence because genuine buyers are not going to defer their purchases for long.
My interaction during surveys among retailers, traders, designers, builders, fabricators and contractors, there is an absolute clarity that India’s market is big enough to accommodate each & every producer if he is ready to adopt speedy modifications, enhance efficiency and quality with win-win and sincere relationship with the dealers. The organized working in plywood trade will bring more small manufacturers selling directly to retailers who have been routed through many chains until now.
“I see this as the most opportune time for mid-size brands to spread wide, invest in quality manufacturing and ensure service and satisfaction to retail points.”
Regarding GST slab, Plywood Industry representations has led to GST committee’s consideration on reducing slab from 28 to 18%. The possibility of slab change to lower grade has increased and a favorable decision to bring it under 18% is expected after 9th September meeting. Whether slab remains 28, or reduce to 18, I can promise, that formula of a successful Indian business in building material segment is to be active, positive and relevant all the time. With care for earnings for the intermediaries, a manufacturer cannot fail. Big companies shall gain and but relevance of every manufacturers will always remain if he offers right quality at right price.
Upgrade and Spread Your Markets, Happy reading every page of your sincere knowledge bank – The Ply Reporter!