The nationwide indefinite transport strike called by the All India Motor Transport Congress (AIMTC), since Wednesday, is likely to be called off on Friday with transporters and the transport ministry almost reaching a consensus on several issues raised by the goods transporters.

Though no formal announcement was made on the withdrawal of strike, insiders say that the government was reacting positively to the demands raised by them.

It is learned that the government will be passing a law that would enable the state governments to fix a maximum ceiling rates for duties on selling of diesel. On the service tax issue, the finance ministry had already indicated yesterday that it was ready to provide relief to the goods transporters by increasing the abatement on the payment of service tax.

AIMTC had demanded that the government implement in letter and spirit the previous agreement of 2004 on service tax, where it was given 75 per cent abatement in the payment of service tax for the services like handling, storage and warehousing.

However, the issue on toll tax collection is yet to be sorted out between AIMTC and the transport ministry. AIMTC executives expressed their hope of reaching a consensus on the same.

Several rounds of talks between AIMTC executives and senior officials from transport, petroleum and finance ministries on Wednesday failed to break the deadlock on these issues as truck operators were unwilling for a compromise.

Earlier, the nationwide strike by AIMTC that entered the second day on Thursday, evoked partial response as truck operators in most of the states decided to continue with their services. Apart from places like Chennai, Hyderabad and Ahmedabad, truck operations in major commercial centres continued uninterrupted.