<h1>Government Adjusts Central Excise Rates for GST Transition: Basic Goods Exempt, Branded Items Face New Levies.</h1> In the General Budget 2011-12, the government proposed changes to the Central Excise Rate structure to facilitate the transition to GST. Exemptions were removed on 130 consumer goods, now subject to a nominal 1% excise duty without Cenvat credit. Basic food, fuel, and unbranded precious metals remain exempt. Branded jewellery will face the levy. Additionally, the lower Central Excise Duty rate increased from 4% to 5%. The optional levy on readymade garments and textiles is now a mandatory 10% for branded items, with tax credits available for manufacturers. Exports of these items remain zero-rated.