Truckers demand 3 per cent VAT cut as precondition for talks with TN government

Federation president R Sukumar who put the total number of trucks at five lakh in the state, including the 30,000 travelling out of the state daily, said the association of trailer operators, which meets on Tuesday, have offered to join them if the strike continues.

Milk, petroleum and water tanker operators have also assured to participate in the strike if it continues beyond three days, Sukumar said, claiming that the state Transport Minister MR Vijayabhaskar has invited them for talks on Tuesday.

“We informed the Minister that the strike is against the Centre. We have offered to turn up for talks by 10 am on Tuesday if the state announces reduction in VAT on fuel by three per centile,” Sukumar told DT Next, pointing out that the price of diesel has increased by Rs 7.80 per liter, including Rs 3.27 per liter hiked since the recently concluded Karnataka Assembly election.

VAT on diesel in Tamil Nadu is the highest in the four southern states.

Compared to Tamil Nadu, diesel price is Rs 2.65, Rs 1.50 and Rs 1.65 per liter in Karnataka, Kerala and Puducherry respectively. Nearly 30,000 lorries are operated to other states from Tamil Nadu. They fill 80 liters in Tamil Nadu and another 500 liters in neighbouring states to save nearly Rs 3 per liter, which is a loss to the state.

“If Tamil Nadu loses Rs 1,500 per lorry per day, work out the number for 30,000 lorries plying daily. It is a loss to the state. If Tamil Nadu government reduces VAT by 3 per cent to 26 per cent on diesel, the price would come down by Rs 2.10 per liter,” Sukumar said, reasoning that supply of vegetables from Bellary and Belgaum in Karnataka and chemicals from Gujarat has stopped from Monday afternoon.