An Empirical Study On The Impact Of Gst On Logistics Management In Tirupur

Abstract

This study presents an empirical analysis of the impact of Goods and Services Tax (GST) on logistics management in Tirupur, one of India’s leading textile and export hubs. The introduction of GST in 2017 marked a major transformation in India’s indirect tax structure by replacing multiple taxes with a unified system, thereby significantly influencing logistics and supply chain operations. The study aims to examine how GST has affected transportation efficiency, warehouse decisions, distribution performance, and overall operational efficiency in the logistics sector. Primary data was collected from 120 respondents including logistics managers, transport operators, warehouse supervisors, and business owners using a structured questionnaire. The collected data was analyzed using statistical tools such as percentage analysis, chi-square test, correlation, regression, and ANOVA to ensure a comprehensive analytical approach. The findings reveal that GST has significantly reduced transit time, eliminated interstate barriers, improved warehouse consolidation decisions, and enhanced operational efficiency. The results also indicate that GST awareness plays a crucial role in shaping perceptions regarding tax simplification and logistics performance. Although initial challenges such as compliance complexity and digital adaptation were observed, the long-term benefits of GST outweigh these difficulties. The study concludes that GST has positively transformed logistics management practices in Tirupur by improving efficiency, reducing costs, and strengthening supply chain coordination.