Festive season sees surge in premium product sales despite unchanged GST rates

A sweeping premiumisation trend this festive season is benefiting manufacturers of products such as smartphones, refrigerators, laptops, washing machines, and electric vehicles (EVs) despite their goods and services (GST) tax rates staying unchanged.

Companies are attributing this to an improvement in overall consumer sentiments due to income tax slab revisions announced in this year’s budget and the positive effects of GST rate cuts on several other consumer goods such as petrol and diesel cars, and large-screen televisions with effect from September 22.