Godrej has decided to reduce the price of its locks as tax burden gets eased by five to seven per cent post Goods and Services Tax (GST).
"With GST most of our locks will be levied at 18 per cent tax. We have decided to pass on the benefit to the consumers by suitably revising its wholesale and retail prices across the country," Godrej Locking Solutions and Systems VP and business head Shyam Motwani told PTI.
Prior to GST, the lock industry was levied tax at 22-25 per cent.
"GST is a landmark move towards one nation, one tax initiative. The locks category will now attract 18 per cent GST. This is a positively beneficial move for the industry. We expect demand for branded locks to increase in the near future," Motwani said.
"Godrej locking solutions has been securing Indian homes for 120 years now. With GST, we expect the demand for branded locks to increase and consumers will have access to improved security at affordable prices," he said.
Godrej which commands 45 per cent of the Rs 1900 crore organised lock industry is aiming at gaining more traction.
Around 60 per cent of the country's lock industry has unorganized players. The total lock market is estimated at around Rs 4800 crore, he added.
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