PM urges festivals with indigenous products

In the 126th episode of his monthly radio address Mann Ki Baat, Prime Minister Narendra Modi on Sunday appealed to citizens to celebrate the upcoming festive season by supporting indigenous products.

Highlighting the ongoing "GST Bachat Utsav," the Prime Minister said that shopping during festivals can be made more meaningful if people resolve to buy only local goods. "You can make your festivals even more special by taking a pledge. If we resolve to celebrate this festival with only indigenous products, you will see the joy of our celebrations increase exponentially," he stated.

Modi emphasised that with a series of festivals approaching, citizens have an opportunity to strengthen the Vocal for Local initiative, which aims to boost domestic manufacturing and enhance self-reliance.

The Prime Minister’s remarks came in the backdrop of recent tax reforms under the Goods and Services Tax (GST) framework. The Ministry of Finance, in its Monthly Economic Update, noted that the rationalisation of the GST structure will provide impetus to consumption growth.

The 56th meeting of the GST Council introduced a simplified two-rate structure, effective from September 22, 2025. The new framework includes a standard rate of 18 per cent, a merit rate of 5 per cent, and a special de-merit or "sin goods" rate of 40 per cent for a select set of items and services. This change, inclusive of the earlier compensation cess, has been designed to avoid any increase in the overall tax burden.

According to the Finance Ministry, the GST rationalisation represents the third major tax reform, following earlier reductions in corporate tax and personal income tax. Finance Minister Nirmala Sitharaman recently stated that the reforms are intended to meet the needs and aspirations of the middle class and the common citizen.