GST roll-out: Call for strike evokes mixed response in Chhattisgarh

Oppn party, Congress, backed the chamber and urged traders in the capital city to join the strike

The state-wide strike called by the Chhattisgarh Chamber of Commerce and Industry ahead of the launch of goods and services tax (GST) evoked mixed response on Friday.

The chamber had called for a strike even as the state’s largest trade body remained a divided house. Convenor of the Chamber and Bharatiya Janata Party (BJP) legislator Shrichand Sunderani lodged his protest, saying there was no logic in the strike when the entire country was jubilant about the roll out of the new tax regime.

Chamber officials, however, defended their stand, saying they did not oppose the GST per say but had reservations about certain aspects of the new regime. 

“We are against a few clauses and wanted the Centre to rectify them,” said Chamber President Amar Parwani. According to the officials, the chamber had reservations regarding 10 points under GST. The government was also requested to make changes on these clauses but no heed was paid to them, added Parwani.

Though traders and their wings associated with the ruling BJP had opposed the strike, opposition party Congress backed the chamber. Congress party activists on Friday marched on the streets of Chhattisgarh to convince the traders to pull down the shutters in support of the strike.

Reports coming from different parts of the state suggest the strike evoked a mixed response in the region. While Bastar was receptive to the call for the shutdown, traders in the industrial town of Korba refused to join protests by continuing to conduct business as usual. 

According to the chamber officials, traders are expecting the Centre to intervene in the matter. Issues raised by traders in Chhattisgarh, touted to be the country's the biggest cloth market, need to be addressed, added the officials. 

A 5% tax would be imposed on the sector under the GST regime over the 1 per cent entry tax that was applicable before the roll out.

The tax reform poses a serious threat on the existence of the 1,500 black stone and crusher units as tax levy would be enhanced from 5 to 28 per cent. The industry is a major source of rural economy in the state as a good number of villagers are engaged in the sector either directly and indirectly.