Retailers in India Pleased With Plastic Bag Tax

Retailers in Hyderabad, India, have been very pleased with a recent tax placed on plastic bags. An article on The Times of India reports that the tax, while initially established to support solid waste management efforts by the Greater Hyderabad Municipal Corporation (GHMC), is often ambiguously allocated, and frequently pocketed by retailers instead. The article suggests that plastic carrier bags are being priced deliberately at higher rates than they are worth, allowing stores to profit from the extra revenue. While this money is, in theory, meant to be given to the GHMC, many store owners are unaware that this is the case. According to the article: 'The store manager at Somajiguda's Spar supermarket, too, claimed he had no knowledge about such a clause. "We pay an annual garbage tax to GHMC. Apart from that, I am not aware of any other payment that we need to make," he said.'

To find out more about India's bag tax, please see the full article on the Times of India here.

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