Textile merchants defer strike

BHUBANESWAR: The All Odisha Textile Merchants Association postponed their decision on Friday after discussing with Finance Minister Prafulla Ghadai to stop import of all essential commodities from outer States with effect from March 31 midnight protesting imposition of VAT on sugar and textiles and enhancement of VAT from 4 per cent to 5 per cent by the State Government.

Protesting the State Government’s imposition of five per cent VAT on textile items, the members of the association staged rally in front of the State Assembly on Friday. Textile merchants across the State closed their shops by the call of the association.

At the rally, the members cautioned the Government to withdraw VAT before April 1, the day the tax comes into effect, otherwise they will stop import of all textile products. The textile sector was already burdened with two per cent entry tax, now the hike in VAT added salt in the wound, the members added.

Later, a delegation met Minister Ghadai and handed over a memorandum demanding rollback in the decision to hike VAT. Ghadai has given assurance to the merchants for a positive come out from the Assembly discussion on the matter and appealed them to stop the decision to go for a strike.

“We postponed our decision till March 31 midnight. If the Government does not take any decision on this matter, we will again plan for our future activities to stop import from the outer States,” said association president Rabindranath Mohapatra.