Cotton Entrepreneurs Seek Removal of RCM and Minimum Electricity Charges in Madhya Pradesh
By jayesh chouhan 2026-07-22 15:18:53
Entrepreneurs Raise Issue of Abolishing RCM and Minimum Charges on Cotton
A meeting of local entrepreneurs was organized during the visit of the State President and Malwa Regional President of Laghu Udyog Bharati to the city. The discussion primarily focused on issues related to the Reverse Charge Mechanism (RCM) applicable to cotton and the minimum charges being levied by the MPEB (Madhya Pradesh Electricity Board).
Office bearers and members of the local unit of Laghu Udyog Bharati welcomed State President Rajesh Mishra and Malwa Regional President Rajendra Dubey upon their arrival. During the subsequent meeting, entrepreneurs inquired about the organization's functioning and its initiatives for the benefit of the industry, while also presenting their key concerns to the State President.
The issue concerning the cotton industry took center stage. Entrepreneurs explained that the RCM system applicable to cotton was causing a significant portion of their working capital to get tied up in GST, thereby adversely affecting industrial operations.
In response, State President Rajesh Mishra stated that this matter would soon be placed before the GST Council, and necessary efforts would be made to find a solution. Regarding the minimum charges levied by the electricity company, he mentioned that the organization was already actively pursuing the matter and promised to raise it again forcefully with the concerned senior officials.
The State President elaborated on the functioning of Laghu Udyog Bharati, the importance of the organization, and the work undertaken for the welfare of the industrial sector.
During the meeting, the Sendhwa unit of Laghu Udyog Bharati was also reconstituted. Ankit Agrawal was unanimously appointed as the President of the Sendhwa unit, and Nilesh Agrawal was appointed as the Secretary.
At the conclusion of the meeting, members of the Sendhwa unit expressed their gratitude to the State President for the organization's efforts to resolve tax-related issues concerning cotton.
Prominent attendees included Media In-charge Durgesh Sharma, former President Suresh Bagrecha, Joint Secretary Sharad Goyal, Girdharilal Goyal, Narendra Mittal, Mukesh Shekhawat, Shivam Joshi, Rajkumar Mangal, Harpalsingh Chhabra, Hemant Sharma, Nilesh Tayal, and Gopal Goyal, along with other entrepreneurs.
