Textile traders across India shut down their business for three days to show their disapproval of the new implementation of GST on textiles. The traders may even go on an indefinite strike from July 1, 2017 if their demands are not met at the Council meeting this week.
The government has planned to roll out a new Goods and Services Tax (GST) on textiles from June 30 midnight. All textile traders are likely to observe June 30th as a black day if their demands are not met.
It has been estimated that 50,000 textile traders in Ahmedabad and around 60,000 shops and powerlooms weavers have joined the strike. Apart from Surat and Ahmedabad, textile traders in Jetpur, Junagadh, Rajkot, Bhavnagar and Surendranagar have also partly showed their support the weaver the GST hike.
The call for strike was made at a gathering held in Delhi last week. Textile traders from across the country had participated in the meeting. According to the textile associations, weavers and cloth traders have never paid taxes in the history of Indian textile industry. Implementation of GST will largely affect the organised and unorganised traders within the industry.