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GST: 40,000 Textile shops shut down across Telangana

Over 40,000 cloth stores and shops across the Telangana state were shut down on Tuesday responding to the 72 hour bandh call given by textile traders opposing the Goods & Service Tax on the sector.

While traders in Secunderabad General Bazaar and Pattergatti in the Old City observed total bandh, cloth merchants from districts have organised rallies and will submit representations local officials.

There was no impact on shops selling garments and readymade clothes as the tax on them remains unchanged at 5 per cent.

TS Federation of Textile Association president Ammanabolu Prakash said the bandh was successful in General Bazaar and Pattergatti.

“The cloth merchants from other places in the city have also observed the bandh. We are organising a rally against GST in the city on June 30. We will decide our next action after a meeting with office-bearers”, he said.

Mr Prakash said that no tax has been collected on textiles since independence. The GST Council until its 15th meeting had announced that it would not tax textiles.

“Representatives from 29 states and 2 Union Territories signed on the decision. Amazingly the Council included textiles in GST to benefit 10 top manufacturers,” he alleged.

He added that the GST on textiles would lead to Rs 2.5 lakh of additional burden on small and medium cloth merchants.

 

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