Impact of goods and services tax on supply chain decisions: Indian scenario

Abstract

Under present tax structure scenario, it is a rational thought to locate warehouse in each state separately to save on taxes. But, this might not hold true after the introduction of Goods and Services tax. This report examines the scenarios, pre-GST and post-GST and presents the results of tests (integer optimization) on our belief that a leading FMCG company should reduce number of warehouses after GST introduction.