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Home > Business > Business Headline > Report


Druggists call bandh on Tuesday

BS Regional Bureau in Ahmedabad | March 24, 2003 13:38 IST

Druggists across the country will observe bandh on Tuesday against the implementation of value added tax.

The All India Organisation of Chemists and Druggists, the Federation of Gujarat State Chemists & Druggist Association and the Ahmedabad Chemists Association will participate in the bandh.

The FGSCDA is a body affiliated with AIOCD, an apex body that represents over 550,000 traders engaged in the medicines and medical disposable business across the country. Rajendra P Patel, vice-president, FGSCDA, and president of ACA said, "At a meeting of various state bodies held recently, it was realised that there are lot of ambiguities in the implementation of VAT.

"Because of this, businessmen and all those associated in the business will have serious problems."  According to the federation, comparison of the medicines and medical disposable business with other segments would bring adverse effects, which is why the AIOCD has decided to protest against the move.

"Medicines and medical disposable business comes under life saving commodities. Manufacturing of medicines is in the hands of multinational and large companies. The intention of the government in introducing VAT is to bring uniformity in the country.

"The implementation of VAT comes from the assumption that the business community is all-time tax evaders. This will government officials rights to bring in revenues. But the question is whether the additional revenue would go to government exchequers or persons," said Patel.


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