The number of e-way bills generated under the Goods and Services Tax regime rose 7.7% year-on-year to 139.1 million in August, according to GST Network data. Sequentially, however, e-way bill generation was down 0.5% from July.
In July, e-way bills had risen 6 % year-on-year, the slowest rise in 45 months, to 139.8 million.
An e-way bill is an electronic GST document that evidences the movement of goods worth more than Rs 50,000. The growth in e-way bill collection is considered a lead indicator of economic activity and domestic trade.
Sustained Industrial Momentum
āThe sustained rise in e-way bill generation figures clearly reflects that the growth momentum in Indiaās organised economy remains firmly intact. This consistent upward trend is a strong signal of underlying economic resilience, driven by improved compliance, formalisation of business activity, and steady consumption demand across sectors,ā said Saurabh Agarwal, tax partner at EY India.
āBuilding on this positive trajectory, it is reasonable to expect that collections in September are likely to be even more robust, as the country moves into the festive season,ā Agarwal said.
Festive Outlook Points
An increase in e-way bills generally suggests GST collections would be robust the following month, as most transactions will be reflected in the next month’s collections. India’s GST collections rose 14.8% year-on-year to Rs 2 lakh crore in August.