Hyderabad Residents Question Impact of GST Rate Cuts: Survey

Rapid Summary

• The latest GST rate cuts come into effect on September 22, but surveys reveal consumer skepticism about benefits reaching them, especially in Hyderabad.
• LocalCircles conducted a survey across 319 districts with over 36,000 responses (61% men, 39% women). Respondents spanned tier-1 cities (44%),tier-2 locations (24%),and tier-3 to rural areas (32%).
• In Hyderabad:

– Out of the 3,231 surveyed, only 10% noticed lower MRPs during the previous GST cuts (2018-19), and merely 4% reported discounts from retailers.
– Accountability perceptions: 21% blamed manufacturers, 13% distributors, and 31% believed retailers withheld benefits.
– Most respondents (84%) felt brands should ensure compliance, while only about 10% held the government accountable.

• National findings are consistent:

– Among nearly 18,897 surveyed citizens reviewing earlier GST reductions: only 9% saw MRP changes, another 9% recalled retailer discounts.
– Across accountability attributions: Manufacturers were held responsible by 26%, distributors by 9%, and retailers by 15%.
– Oversight expectations split between brands (78%) versus government duty (13%).**

• Challenges noted include manufacturers keeping outdated MRPs unchanged for months due to reasons like cost increases or use of old packaging allowed till March 2026 under regulatory norms.

Indian Opinion Analysis

The survey highlights important mistrust among consumers regarding tangible benefits from GST rate cuts-a recurring concern seen nationally and regionally since past adjustments failed to deliver effectively. While regulatory frameworks like extended use of old packaging may help manufacturers clear stocks efficiently until March 2026, they together dilute immediate consumer relief.

Accountability remains fragmented among stakeholders-manufacturers for delayed MRP revisions due to higher costs or inertia; distributors and retailers for failing to transfer savings visibly; while brands emerge as both central influencers in public trust alongside calls that perhaps stronger governmental mechanisms needed enhancing clarity enforcement tighter cooperation Measures