Most hotels, chemist shops in South shut to protest GST rates

Most eateries and chemist shops were shut today in the southern states of Tamil Nadu, Karnataka, Kerala and Puducherry in protest against GST tax rates and online sale of medicines.

Thousands of travelling people in these states were inconvenienced as hotels, restaurants and other eateries downed shutters in response to the dawn-to-dusk call given by various state bodies and supported by South Indian Hotels and Restaurants Association (SIHRA).

SIHRA said recent developments and policies belied the importance of the hotel industry.

"Policy makers have failed to recognise this industry as one of the largest employment generators and net foreign exchange earners," it said in a statement in Chennai.

The association said it had asked member bodies to join the strike.

A report from Puducherry said most hotels and medical shops remained closed.

Calling the shutdown "successful", Bruhat Bangalore Hotels Association President B Chandra Shekar Hebbar said most hotels and restaurants closed.

He said the association had never called for a bandh and they had continued business despite various issues. "The one day shutdown will not inconvenience customers, because we are doing this in the customer's larger interests, as the rates will have an impact on their pockets," he said.

SIHRA also staged a protest in the city, demanding the rates be reduced.

However, Karnataka State Hotel Owners Association, the state-level body, did not support the shutdown, resulting in business being usual in other parts of the state.

There are about 3,000 registered hotels or restaurants in Bengaluru.

Most chemists in Bengaluru and other parts of Karnataka also shut shop today in support of the nationwide shutdown called by All India Organisation of Chemists and Druggists in protest against 'stringent' rules in sale of medicines.

Chemists also staged a demonstration in Bengaluru.

In Tamil Nadu, nearly two lakh hotels, tea shops, bakeries and medical shops downed shutters.

"This is an essential commodity. Not a luxury. We will be ones to suffer the maximum if this (GST tax rates) comes into force," a top official of Tamil Nadu Hotels Association said.

Association President Venkada Subbu said the industry employs about 1 crore people directly and indirectly. Tax levied now ranges from between 0.5 per cent to 2 per cent.

"In the proposed GST, the rates are revised with a minimum of 5 per cent to a maximum of 18 per cent. For star hotels it will vary from 18 per cent to 28 per cent," he told

(This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)