The sectors which are the biggest beneficiaries of GST

The bill has been unanimously cleared by the upper house on Aug 3, with 203 votes. However, there is more that needs to be done to get it finally implemented. On the other hand, following are the sectors which will largely benefit from the GST, namely Cement, Auto, Logistics, Media, Metals, FMCG. Cement sector is being levied with 27 to 28 per cent tax, and if the GST is presumed to be between 18 to 20 per cent, it will benefit the sector by 9 to 10 per cent.

Auto sector has two components, one is general, which includes two wheeler bikes and the second is the luxury goods which pays 40 to 45 per cent tax. Out of the two the latter will not be as beneficial as the first one.Logistic sector pays approximately 27 to 28 per cent tax currently, and will save ultimately approximately 10 per cent under the new system. Media, Metals, FMCG currently pays approximately 23, 18, 30 per cent respectively. These sectors are the biggest gainers from the GST and expect some strong movements on the bourses on Aug 4. The Sensex as at 9.20 am, is up by 76 points and Nifty is in green at 8552 up by 8 points.