Boosting aquaculture: Lowered GST rates set to benefit fish farmers

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Fishermen at Lawson's Bay Colony, a neighborhood along the north coast of Vishakapatnam
Fishermen at Lawson's Bay Colony, a neighborhood along the north coast of VishakapatnamNathaniel Ayer; Wikimedia Commons
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GST rate cut across fisheries value chain to boost India’s blue economy

The Indian government has enacted a major GST reform, significantly rationalising tax rates across the fisheries sector. This move is designed to cut operational costs, enhance competitiveness in both domestic and export markets, and directly benefit the millions of fish farmers and stakeholders who depend on fishing and aquaculture for their livelihoods. A key change is reducing the GST on value-added seafood products—including fish oils, extracts, and preserved fish/shrimp—from 12% to 5%. This will make processed seafood more affordable for consumers and strengthen India's global export standing.

The reforms focus on reducing input costs for both aquaculture and capture fisheries. Essential equipment for farming, such as diesel engines, pumps, and aerators, now attracts a GST of just 5%, down from 12-18%. The tax on critical chemicals (like ammonia and micronutrients) and composting machines has also been cut to 5%. Furthermore, the GST on fishing gear—rods, tackle, and nets—is reduced from 12% to 5%, lowering costs for small-scale fishers. The tax on job work services in seafood processing is also cut from 12% to 5%.

This strategic tax reduction is set to significantly bolster India's blue economy. The fisheries sector is already one of the world's fastest growing, supporting over 3 crore people. India is the second-largest fish producer globally, and the leading shrimp exporter, with seafood exports exceeding Rs. 60,000 crores in 2023-24. By lowering taxes throughout the value chain, the government aims to cement India's status as a global seafood powerhouse, secure rural income, and enhance national food security. (IANS Live)

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Fishermen at Lawson's Bay Colony, a neighborhood along the north coast of Vishakapatnam

Government approves Rs 1,500-crore incentive scheme to promote recycling of critical minerals

The Union Government has approved a six-year, Rs. 1,500 crore incentive scheme to promote the sourcing of critical minerals from secondary or used products. This scheme is viewed by the Ministry of Mines as a prudent way to ensure supply chain sustainability in the near term. It targets the extraction of strategic minerals, such as rare earth magnets, from sources like lithium-ion battery (LIB) scrap and non-e-waste scrap, including catalytic converters from end-of-life vehicles. The incentives will specifically apply to the value chain involved in the actual extraction of critical minerals, excluding the preliminary stage of black mass production.

The scheme is designed to be a major catalyst for investment and capacity building. It is projected to attract approximately Rs. 8,000 crores in private investment and create nearly 70,000 direct and indirect jobs. Crucially, the incentives are expected to help develop an annual recycling capacity of at least 270 kilotonnes, resulting in around 40 kilotonnes of critical mineral production per year. Running from FY 2025–26 to FY 2030–31, the scheme prioritises inclusivity by earmarking one-third of the outlay for small, new recyclers, including start-ups.

Financial incentives are structured into two categories: a 20% Capital Expenditure (Capex) subsidy on plant, machinery, and equipment for eligible units, and an Operational Expenditure (Opex) subsidy provided as an incentive on incremental sales over a base year. To ensure broader participation and prevent monopolization, the total incentive (Capex plus Opex) is capped. Large entities are limited to a total of Rs. 50 crore, while smaller or new recyclers face a total cap of Rs. 25 crores. This dual-incentive and capped approach aims to accelerate the development of a resilient domestic critical mineral supply chain. (Deccan Herald)

Fast fashion's hidden costs: A call for a strong textile waste policy in India

India’s rapid adoption of fast fashion is generating a severe textile waste crisis, with the true cost hidden behind low price tags. The textile sector is now the third-largest dry-waste stream in India's municipal system, producing nearly 7,800 kilotonnes of waste annually. This exponential consumption, magnified by e-commerce, is driven by patterns of planned obsolescence, where an average consumer wears a garment fewer than 10 times. As a result, 41% of textiles in India are incinerated or landfilled after minimal use, leading to rising carbon emissions and mounds of clothing that informal waste workers are forced to burn, impacting both the environment and their health.

Beyond waste, the fast fashion supply chain is a massive environmental polluter and consumer of resources. The industry is globally the second-largest consumer of water—requiring up to 2,700 litres for a single cotton T-shirt—and contributes a significant portion of global carbon emissions. The reliance on cheap, synthetic garments exacerbates the problem by shedding microplastics into waterways and food chains with every wash. Furthermore, toxic runoff from dyeing units pollutes groundwater, disrupts agriculture, and causes chronic health issues in nearby communities, highlighting that the low prices of fast fashion fail to account for the substantial human and ecological damage.

The current crisis is rooted in the absence of a comprehensive national policy and the dominance of price over sustainability. While slow fashion pioneers are emerging, offering upcycled and ethically sourced clothing, their higher costs cannot compete with the aggressive marketing and perceived value of fast fashion. This pricing gap exists because the true social and environmental costs are externalised. Experts emphasise the urgent need for a robust Extended Producer Responsibility (EPR) framework for textiles, which would mandate producers to take responsibility for the entire lifecycle of their products, from collection and sorting to processing and recycling. (Outlook Business)

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Fishermen at Lawson's Bay Colony, a neighborhood along the north coast of Vishakapatnam

New notifications on forests promote business, claim experts

The Ministry of Environment, Forests, and Climate Change (MoEFCC) has issued a series of notifications, including amendments to the Forest Conservation Act 2023 and new Green Credit Programme rules, that experts believe signal a lenient approach to promoting business by facilitating the diversion of forest lands. The Union Minister claims these changes are necessary to balance economic progress with ecological stewardship amid geopolitical tensions. However, environmental analysts contend the amendments are detrimental to India's forest conservation efforts and may contradict existing Supreme Court orders protecting forest area.

Key changes to the Green Credit rules have raised concerns, particularly by allowing Green Credit to be treated as compensatory afforestation compliance instead of the previous "land for land" exchange. Experts warn this could lead to the double counting and shrinkage of forest land, violating the Forest Policy upheld by the Supreme Court. The rules now stipulate tree plantation on degraded forest land must achieve a 40% canopy density, assessed after five years instead of two. The new rules are also criticised for their vagueness, failing to address the failure of plantations after five years or including provisions for plantation on non-forest land.

Revisions to the Forest Conservation Rules are also alleged to weaken compensatory afforestation regulations and vaguely define projects of national importance. The amendments now allow states to grant initial ‘working permission’ for linear projects before receiving final approval, weakening regulatory oversight. Furthermore, experts argue that the inclusion of ambiguous "public interest" projects—mirroring previous exemptions given to defence and national security projects—could mask projects from public scrutiny. Critics allege these amendments violate interim Supreme Court orders requiring compensatory land be provided before any reduction in forest land occurs. (The New Indian Express)

NGT imposes Rs. 30 lakh fine on Lonavla builder for encroachments on Indrayani riverbed

The National Green Tribunal (NGT), Western Zone Bench, Pune, has imposed a Rs. 30 lakh penalty on Lonavla-based builder Prakash Porwal for repeated, illegal encroachment on the Indrayani riverbed. The case, filed by applicant Suresh Pujari, alleged that Porwal had conducted extensive illegal activities, including dumping soil, constructing roads, retaining walls, and installing gates on the river at Bhushi village. The NGT highlighted that Porwal had violated multiple previous judicial orders, including one from 2020 that was upheld by the Supreme Court in 2023.

During the hearings, the Tribunal dismissed Porwal's defense, which included claims of a historically existing road and permission from local revenue authorities. The NGT concluded that Porwal's actions demonstrated a persistent disregard for environmental regulations and judicial authority. The Lonavla Municipal Council (LMC) confirmed that it had previously spent Rs. 20 lakh to remove Porwal’s encroachments, which he subsequently repeated. The LMC estimated that an additional Rs. 10 lakh would be needed for the final restoration of the riverbank.

Holding the builder fully accountable, the NGT ordered Porwal to pay the entire Rs. 30 lakh restoration cost to the LMC within one month. The Tribunal also directed the municipal body to immediately demolish all unauthorized structures, remove the dumped soil, and implement measures to prevent future encroachments. Furthermore, the NGT instructed the LMC to pursue criminal cases against Porwal for obstructing officials and repeatedly violating court orders. Porwal, however, stated his intent to file an appeal, claiming the LMC submitted a misleading report. (Hindustan Times)

This is a roundup of policy updates from September 1, 2025 to September 15, 2025. Read our news updates here

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