Views of Mr. Amarjeet Maurya (Sr. Research Analyst - Mid Caps, Angel Broking):
"The Nifty story on Friday 17th March could have been very different had it not been for ITC, which was the only heavyweight holding the Nifty up. The sharp up-move in ITC came in the aftermath of the crucial GST Council meet on March 16th. The GST Council decided to cap the cess rate on tobacco products at Rs.4170 per 1000 sticks or 290% ad valorem. The GST Council has also capped the cess on Pan Masala at 135% ad valorem. This cess will be levied over and above the basic GST that will be imposed on these products. While the final levy on tobacco products will be high, this cap will ensure two things. Firstly, it will ensure that the uncertainty surrounding the peak cess on tobacco products will end once and for all. Secondly, this capping also means that they have not exactly been classified as sin products. The remonetization effort and the likely impact on FMCG demand also played in favour of ITC."