GST 2.0 will bring down grocery bills by 13%, Rs.70,000 savings on small car purchases
The GST reforms, which kicked in from Monday (September 22, 2025), will lead to a saving of 13% in the household bills for groceries and daily essentials, while a small car buyer could save around Rs.70,000. According to government estimates, stationery, clothing, footwear and medicines purchases would bring in savings in the range of 7-12%, while the savings would go up to 18% in the case of individual health and life insurance policies, which have been exempt from GST effective from Monday.
Prime Minister Narendra Modi, on Sunday (September 21, 2025), in an address to the nation welcomed the “next generation reforms”, while congratulating the citizens on what he called the “GST Savings Festival”.
Mr. Modi spoke on how the restructured GST rate will make everyday items cheaper, thereby positively affecting the lives of the poor, middle and new middle class. He also re-iterated the need for purchasing goods manufactured in India, saying that “India’s prosperity will gain its strength from Swadeshi mantra.”
The Congress on Sunday (September 21, 2025) accused PM Modi of taking “sole ownership” of the amendments made to the GST regime and said the current reforms were inadequate, with no resolution to the states’ demand for an extension of compensation for another five years.
