Mumbai: Leading biscuit maker Parle Products on Monday denied reports of 10,000 job losses due to slowing economic growth, falling demand and consequent production cuts. "The news about 8,000 to 10,000 job losses at Parle G is not a factual story," said Mayank Shah, Senior Category Head at Parle. "The facts have been hyped by media. The condition of job loss is actually an eventuality if our demand for lesser tax rates is not met," he said. "It is not a fact that people have lost their jobs by now. The fact is that we cannot continue with the same number of manpower if we are not having the same production volume as earlier," said Shah.
"I just believe that 18% Goods and Services Tax (GST) on biscuits is too much. Biscuits were exempt from excise tax earlier. But now they are taxed at 18%," he said. Other company products like rusk were earlier exempt from taxes. Now it is taxed at 5% GST rate.
Shah said even biscuits could be put in the tax bracket of 5%. "It is more important to talk about the fair tax rate for us. A high tax rate can affect our volume of production. About jobs which we are talking is actually an eventuality of the whole scenario," said Shah. Parle is a leading manufacturer of biscuits and confectionery in the country. Outside India, it has manufacturing units in Cameroon, Nigeria, Ghana, Ethiopia, Kenya, Ivory Coast, Nepal and Mexico.
(For all the latest News, Mumbai, Entertainment, Cricket, Business and Featured News updates, visit Free Press Journal. Also, follow us on Twitter and Instagram and do like our Facebook page for continuous updates on the go)
