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GST 2.0 has introduced landmark rate cuts on textiles and garments in India, significantly easing
the tax burden on essential clothing items priced up to ₹2,500. This study examines how these
reforms make apparel more affordable to consumers while supporting small and medium textile
manufacturers by reducing input costs and boosting competitiveness. Drawing on secondary data
from government reports, industry publications, and GST council updates, this research highlights
the positive impact of GST rationalization on domestic demand, MSME liquidity, and India’s
export potential. The findings suggest that while GST 2.0 benefits affordability and industry
growth broadly, continued policy support is needed to address compliance challenges and ensure
sustainable expansion.
"“A Study on Making Essentials Affordable — A Deep Dive into GST Rate Cuts on textiles and garments.”", International Journal for Research Trends and Innovation (www.ijrti.org), ISSN:2456-3315, Vol.11, Issue 2, page no.a167-a173, February-2026, Available :http://www.ijrti.org/papers/IJRTI2602020.pdf
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2456-3315 | IMPACT FACTOR: 8.14 Calculated By Google Scholar| ESTD YEAR: 2016
An International Scholarly Open Access Journal, Peer-Reviewed, Refereed Journal Impact Factor 8.14 Calculate by Google Scholar and Semantic Scholar | AI-Powered Research Tool, Multidisciplinary, Monthly, Multilanguage Journal Indexing in All Major Database & Metadata, Citation Generator