Paramilitary forces have sounded alarm bells saying over 1,700 of their canteens, used by lakhs of troops and their families to run their households, may soon have to be shut if they are not provided Goods and Services Tax (GST) “exemption” similar to the Defence-run CSDs.
A senior official involved in the running of these canteens, called Central Police Canteens (CPCs), said stocks of groceries, kitchen goods and other miscellaneous items have dipped to an all-time low as there is no clarity for their operations after the implementation of the GST.
“The stocks are in the red. The Government has been petitioned time and again about the exemptions required to run these subsidised canteens for jawans, but there has been no final decision,” he said.
Affected by the development, an association of Central Armed Police Forces (CAPFs) veterans has threatened protests against the “step-motherly” treatment and has said it will “picket” all the headquarters of these forces on August 18.
The association has also written to Prime Minister Narendra Modi seeking his intervention in this “kitchen budget” crisis being faced by lakhs of personnel and their families belonging to forces like the BSF, CRPF, ITBP, CISF, and SSB. Central police organisations like the CBI, NDRF, NIA, and SPG also
purchase items from these canteens.
“The imposition of GST on the CPC has put the members of these organisations in crisis of kitchen budget,” the All India Central Paramilitary Forces Ex-Servicemen Welfare Association wrote.
It also appended to the PM, a recent letter written in this context by Union Home Minister Rajnath Singh to his Finance counterpart Arun Jaitley.
Singh, in his letter on June 29, has sought exemption from the Goods and Services Tax (GST) for the CPCs saying if such a concession is not granted to these canteens then the CAPF personnel would face “financial hardships”.
He said exemption from GST will act to boost the “morale” of these jawans who render selfless service to the nation.