Traders’ strike invokes mixed response

LAHORE: The nationwide strike called by trader groups on Saturday against the 0.3 percent tax on banking transactions by non-filers invoked a mixed response as a number of wholesale markets observed a complete shutdown but the neighborhood markets kept their shutters open.
The government cut the withholding tax to 0.3 percent from the 0.6 percent announced in the budget 2015/16 as the business community rejected the levy.
Trader groups Qaumi Tajir Ittehad and Anjuman Tajran Group, led by Khawaji Shafiq from Multan, called the shutter down against the tax.
The Federation of Pakistan Chambers of Commerce and Industry, which the apex trade body, however, opposed the move.
Most of the important markets in Lahore were close. The wholesale markets and bazaars in upmarket areas, such as Liberty, Anarkali, Mall Road and Hall Road remained close.
Major wholesale and retail markets in the port city of Karachi, including Jodia Bazaar, Sarafa Bazaar, electronic markets in Saddar, observed complete shutter-down.
"The entire wholesale shops at Jodia Bazaar were close. However, retail shops did business as usual," said Abdul Qadir Noorani, general secretary of Jodia Bazaar Traders Association.
The wholesale shops cover more than 75 percent of the bazaar’s business, supplying edibles and chemicals.
Haji Haroon Chand, president of Sindh Sarafa and Jewellers Association said some shops lifted shutters in the sarafa market in Karachi.
Similarly, home appliance and electronic shops on main Abdulla Haroon Road in Saddar, and mobile phone markets in adjacent areas remained close for most part of the day.
Traders in twin cities of Rawalpindi/Islamabad observed complete shutter-down on the call of All Pakistan Traders Association. Banners inscribed with slogans against the tax were seen in various markets.
“This tax is entirely unjustified, as we keep our money in banks to remain safe from the dacoits and thieves, but now the government is asking for paying tax on every transaction,” said Shahid Ghafoor Paracha, President Rawalpindi Traders Association.
In Rawalpindi, Raja Bazaar, Ghalla Mandi, Iqbal Road, Wheat Mundi and Mochi and Sarafa bazaars wore a deserted look. In afternoon, however, some shopkeepers opened their shops.
In Islamabad, major markets, including Blue area, Karachi Company, Aabpara, Super Market, Jinnah Market and Markaz were close. Only medial stores and food outlets were open.
“All the traders of the Islamabad have rejected this cruel decision of the government,” said Ajmal Baloch, President Anjuman-e-Tajran Pakistan.
Business community members, led by All Pakistan Agricultural Produce Traders Federation, in Peshawar arranged protest demonstration against the levy.
President Khyber Pakhtunkhwa chapter of the All Pakistan Anjuman-e-Tajran Sharafat Ali Mubarak termed the shutter-down as referendum of traders against the decision of the government to levy 0.3 percent tax on the banking transactions.
“We are already paying direct taxes and the government, instead of broadening tax base by bringing new payers into the tax net, is burdening the traders with more taxes,” Mubarak said.
Meanwhile, in Lahore closure of wholesale markets of Akbari, timber, Montgomery Road Auto Part and Badami Bagh kept the visiting retailers who wanted to buy inventories for their shops empty-handed.
The strike, however, did not disturb the normal routine in residential localities in the country’s second largest city as shops operated as usual.
Shops in Barkat Market Garden Town, Garhi Shahu, Dharampura market and Sanda were open.
Bakeries, eateries and medical stores continued to receive shoppers in areas where majority of population are living.
The retailers in the areas said that they had enough stocks to even serve the consumers coming from locations where shops were close.
The stance of the Lahore Chamber of Commerce and Industry was unclear, while the All Pakistan Textile Mills Association distanced itself from the strike call. Some of the Pakistan Muslim League Traders Wing gave muted support.
PPI from Sialkot adds: The traders observed partial shutter down strike in Daska, Sambrial, Badiana, Pasrur and surrounding areas.
Reportedly, the shops and shopping centres were close at Tehsil, Bano, Urdu, Kashmiri and Lehaayi bazaars and those located at Railway Mujahid and Karimpura roads.
However, trade centres and shops situated on Kashmir, Circular, Church, Khadim Ali, Gohdpur, Paris, Head Marala and Daska roads were open as usual.