Traders from the agricultural produce marketing committees (APMCs) across the State, who had threatened to go on a strike against the hike in market cess, have now decided to wait and watch over Cooperation Minister S.T. Somashekhar’s assurances of a favourable resolution.
The Minister met stakeholders from APMC yards from across the State in the city on Wednesday over the issue. “The Minister claimed the hike of market cess from 0.35% to 1% had happened without his knowledge. He assured us that he would discuss the issue at State Cabinet meeting on December 28 and promised a favourable resolution. So we have decided to wait till then,” said Ramesh Chandra Lahoti, chairman, APMC Committee, Federation of the Karnataka Chambers of Commerce and Industry.
The State government had slashed the market cess from 1.5% of the sale of farm produce to 0.35% in July 2020, when APMC yards across the State shut down in protest against amendments to the Karnataka APMC Act, 1966, that allowed for private yards, which pay no cess.
However, the government revised the cess to 1% on December 15, prompting the APMC traders to cry foul that they felt betrayed as the government had hiked the cess after the amendments came into effect. “We are not shying away from competition, but are only demanding a level-playing field between private yards and APMC yards. The market cess we are forced to pay will be passed on to consumers, which puts us at a disadvantage with the private players. Our demand is to roll back the recent hike and ensure a uniform cess for both private and APMC yards in the State,” Mr. Lahoti said.
Protest by Hamalis
Operations at the Yeshwantpur APMC yard were partially impacted as some of the unions of Hamali labourers went on a daylong strike in support of the farmer’s agitation against farm laws, on account of Kisan Diwas on Wednesday.
Murthy, president of the Yeshwantpur Yard Hamali Workers’ Association, said the farm laws that allow private yards would eventually kill APMC yards and that would not only affect farmers but the Hamalis too. “Nearly 10,000 of us work as Hamalis, loading and unloading farm produce at the Yeshwantpur yard alone. Imagine, how many of us will be affected if APMC yards across the State are weakened and die a slow death,” he said.
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