A Comparative Study of the Indian Pharmaceutical Industry Before and After Gst Implementation

Abstract:

The implementation of the Goods and Services Tax (GST) on 1 July 2017 marked one of the most significant indirect tax reforms in India. The pharmaceutical industry, being one of the country's fastest-growing sectors, experienced considerable changes in taxation, supply chain management, pricing, and compliance. This comparative study analyses the structure and performance of the Indian pharmaceutical industry before and after GST implementation. It examines the effects of GST on manufacturing, distribution, pricing, logistics, exports, and overall business efficiency. While GST simplified the indirect tax regime and improved operational efficiency, it also introduced compliance challenges and transitional issues. Overall, the study concludes that GST has positively influenced the pharmaceutical sector by creating a more transparent and integrated tax system, although certain challenges remain.