How and why traders and merchants are protesting against GST all over India

Some prominent trade unions across the country plan to greet the roll out of what is being called India's biggest tax reform—the Goods and Services Tax—with strikes and protests. The unions are protesting the new regime on the grounds that the slabs on certain categories are “excessive,” and the process is “complicated" overall, according to the Hindu.

One of these unions is the BUVM, or the Bharatiya Udyog Vyapar Mandal, consisting of 17,000 big and medium traders’ associations, and they have called for a daylong Bharat Bandh. BUVM Secretary General Vijay Prakash told Business Standard, “We have several issues with the GST system and rates. The tax on some of the items will be fatal for SMEs.” After gauging the reactions of the GST committee to the protests, a meeting will be convened again on July 6 to decide the course of action ahead.

As a mark of protest, traders in Kanpur stopped the Jhansi Express, as reported by DNA. In Agra, a recital of the Sundar Kand—part of Ramacharitmanas—was staged as a way to “purify the mind and soul of Finance Minister Arun Jaitley,” reported International Business Times.

Protests had already sprung up in Ahmedabad on Thursday, as close to 50,000 textile dealers, disapproving of the levy of five percent GST on the textiles industry, staged a bandh. This wave was replicated in Surat, by the diamond as well as the textile traders. The Gujarat trade union leaders have revealed that nearly three lakh traders from Gujarat joined the bandh.

As for Delhi, reportedly 40 trade unions have agreed to extend their support to the bandh. “On Friday, representatives of prominent trade unions from across the city will hold a protest at the Kashmere Gate market,” said Brijesh Goyal, National Convenor, Chamber of Trade and Industry, according to Scroll.in .

A midnight launch has been organised at the Central Hall in the Parliament by Prime Minister Narendra Modi, marking the beginning of the regime, and will also be attended by President Pranab Mukherjee.

Various political parties like the Congress, Trinamool Congress, Dravida Munnetra Kazhagam, and Rashtriya Janata Dal have also decided to boycott the launch as a sign of disapproval for the new taxation laws. Mallikarjun Kharge and Ghulam Nabi Azad led the charge from Congress and opined that India was “ill-prepared” for the implementation of the new regime. They also considered the use of the Central Hall for this purpose as inappropriate.

Finance Minister Arun Jaitley and Union minister Venkaiah Naidu released statements seeking the support of the protesting parties. “I hope every political party will reconsider and revisit its decision,” said the FM.