HYDERABAD, MAR. 12
Shopping malls and retail chains expressed solidarity with the ongoing indefinite textile trade bandh against value added tax (VAT), called by the Andhra Pradesh Federation of Textiles Associations by suspending sales at their outlets from Monday.
Speaking to reporters on the third day of the textile trade bandh, the AP Federation of Textile Associations president Ammanabolu Prakash said that traders made losses, after many malls began buying from other states where cloth is much cheaper due to non implmentation of VAT (value added tax). However, malls have now agreed to stop purchasing fabrics from other states to sell them in Andhra Pradesh, he said.
Stating that close to 100,000 textile traders in the state have been participating in the indefinite strike from March 8, he alleged that the state government rubbed salt into their wounds by bringing textiles under ‘sensitive commodities’ in order to force them to pay VAT.
“VAT affects both consumers and traders, since both have to spend additional money to buy and sell textiles,” he said, adding they would intensify their agitation and continue to observe a total bandh until VAT was abolished. According to him, turnover affected due to the strike could be between Rs 1,000 crore and Rs 1,500 crore per day.
He said that they have sent a memorandum to two union ministers who in turn, have assured of taking up the issue with concerned authorities including UPA chairperson Sonia Gandhi and Prime Minister Manmohan Singh. In addition, various associations have sent faxes to top leaders updating them about the state of affairs in the state, hoping that the government would do away with VAT until a uniform tax policy is implemented across the state.
They threatened to vote the Congress out of power if status quo is maintained and support any party which takes up their cause. The traders plan to meet again on March 17 to chalk out a future course of action, they said. (PTI) (Source: Tecoya Trend)