02 July 2008

Truckers go on countrywide strike as talks fail

Truckers went ahead with their countrywide strike to press their demands ranging from review and roll-back of hiked toll tax to rationalisation of high duty on diesel.

Initial reports indicated mixed response from different parts of the country on the opening day to the strike call given by the All-India Motor Transport Corporation (AIMTC). There were reports of crippling of industrial activity in some States, including Kerala.

An early end to the stir was nowhere in sight as at the end of the day as the second round of talks at the Transport Bhawan also failed and the AIMTC, which is spear heading the transporters’ struggle, declared that their strike would continue.

“We want a complete roll-back of the increase in toll tax, but we are also open to a middle path,” Gurinder Pal Singh of the AIMTC told journalists after the second round of meeting with Transport Ministry officials here.

The mass protest crippled industrial activity in many parts of the country and hit food supplies to Kerala, which depends on neighbouring States for staple edibles.

However, transporters maintained supply of essentials such as fuel.

The strike began from Tuesday midnight with truckers stopping ferrying of goods other than fuel and other essential commodities. The essential items have been kept outside the purview of the strike for the time being.

The impact of the strike in terms of disruption of supply chain as a result of non-movement of the goods was not felt immediately as the trucks started going off the roads from midnight only. However, the truckers said that the real effect of their agitation would be known after sometime.

The earlier round of talks between Highways and Road Transport Minister T. R. Baalu and the AIMTC representative too did not yield anything. The Minister is reported to have taken a tough stand. “Yes, the hike in toll tax in February was too much, but it was through an Act of Parliament... it is not possible to roll back the hike,” Mr. Baalu told them.

Mr. Baalu, however, said that his Ministry has talked to the Petroleum Ministry on the truckers’ demand for levying fixed duty on per litre of diesel instead of the prevailing ad valorem duty and that a clarification was expected soon.

Transporters would be provided whatever variety of diesel they want at normal rates, he said and asked them to end their strike.

The Finance Ministry too held discussions with the AIMTC delegation in relation to service tax and other issues falling under its purview. It was indicated that the Ministry was open to offering concessions on service tax.

So far as the issue of removing speed governors from roads were concerned, Mr. Baalu said it was a State subject and he would hold a meeting with the Transport Ministers to resolve the issue.

“We will continue with the indefinite strike,” AIMTC president Charan Singh Lohara said.

Mr. Lohara said: “We are running on losses... the Minister is saying that if you are going on losses, then stop your business. So, we are stopping our business and continuing with the strike.”

Central Board of Excise and Customs member V. Sridhar said the government was ready to consider the demand of goods transport agencies for enhancing the abatement rate from 75 per cent.

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