Tamil Nadu’s GST growth slowed to 3% in October, according to figures cited by former state finance minister Thangam Thennarasu, prompting the DMK and other opposition parties to criticise the TVK government over investment, production and revenue performance.
Thennarasu said Tamil Nadu’s growth was well below that of neighbouring states. He cited GST growth of 23% in Kerala, 24% in Andhra Pradesh, 18% in Karnataka and 14% in Telangana during the same month. The national average was reported at 22.9%.
DMK president M K Stalin described the state as being in “reverse gear” after the TVK government came to power and called for immediate steps to attract investments and increase domestic production. He also alleged that South Korean investments worth Rs 1,614 crore that were intended for Tamil Nadu had moved to Andhra Pradesh because of the state government’s negligence.
Stalin further alleged that Guidance Tamil Nadu, the state agency responsible for attracting investments, had been neglected. He made the remarks while referring to Chief Minister C Joseph Vijay’s roadshow in Pudukkottai on Monday, suggesting that the government was focusing on an impending bypoll instead of addressing the state’s economic concerns.
Thennarasu said revenue from Tamil Nadu’s own production had continued to decline, while taxes collected on goods brought into the state had contributed only a modest increase in overall tax revenue. He described the pattern as an indicator of wider economic stagnation.
The criticism was echoed by AIADMK general secretary Edappadi K Palaniswami and AMMK leader T T V Dhinakaran. Palaniswami also alleged that investments intended for Tamil Nadu were moving to Andhra Pradesh and said such losses could reduce people’s purchasing power.
“Without improving per capita income and enhancing purchasing power, how will government increase GST revenue,” Palaniswami asked.
The statements place investment facilitation, state production and GST collections at the centre of Tamil Nadu’s latest political dispute. The supplied report does not include a response from the TVK government to the opposition’s allegations or independent confirmation of the claimed investment shift. Further official clarification is expected to determine how the state government responds to the revenue figures and the criticism of its investment agency.
