Shares of Kokuyo Camlin Ltd surged 8.89% to ₹126.72 on Wednesday, September 4, as the GST Council’s decision to cut taxes on key education-related items to nil sparked a rally across the stationery and education segment.
GST reforms boost stationery demand
As part of the new GST structure effective September 22, the following items will see their GST rates reduced to 0%:
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Maps, charts, globes (earlier 12%)
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Pencils, sharpeners, crayons, pastels (earlier 12%)
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Exercise books, notebooks (earlier 12%)
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Erasers (earlier 5%)
The move is expected to make stationery essentials significantly cheaper, giving a direct demand boost for manufacturers like Kokuyo Camlin, one of India’s leading stationery brands.
Market outlook
Analysts suggest that the reforms will lower costs for households and schools while improving sales volumes for listed stationery firms including Kokuyo Camlin, Doms Industries, and Navneet Education. The sector is likely to benefit from stronger back-to-school demand as well as exports competitiveness.
Shares of education-related companies have been actively trading since the GST announcement, with Kokuyo Camlin emerging as one of the day’s top gainers in the pack.
