Truckers threaten strike, send memorandum to Prime Minister

CHENNAI: Issuing an ultimatum on issues of hike in third party insurance premium (TPP) and spiralling diesel prices, the All India Motor Transport Congress (AIMTC) has sent a memorandum to Prime Minister Narendra Modi seeking his intervention for immediate positive action to help the sector, now in distress. The memorandum was sent ahead of the organisation’s crucial meeting scheduled for May 17 in Delhi.

Describing the TPP as “organised loot”, the AIMTC, the national truckers and transporters body, wanted Prime Minister to order a CBI probe into all the claims filed with insurance firms after six months of occurrence of road accidents and the commission paid by  insurance firms against comprehensive policies. It demanded the rollback of TPP hike with effect from April. The premium had been raised by about 30 per cent. Also, the 18 per cent GST on the premium should be revoked.

Amendment to Section 44AE of Income Tax Act was another major issue raised in the memorandum, signed by AIMTC president S K Mittal and chairman Kultaran Singh Atwal.

“The transporters are the worst affected by differential pricing in different States as the vehicles travel throughout the country and at times have to fill tanks at a higher price of diesel than what was quoted to their clients in home states,” it said.

The national body demanded uniform diesel rates across the country, rationalisation of Central and State taxes by bringing them under the ambit of GST and quarterly determination of rate, instead of daily revision.

Referring to the issue of amendment made to Section 44AE of I-T Act, which proposes to presume the income on vehicles at the rate of `1,000 per tonne of gross vehicle weight per vehicle per month, the transporters urged the Prime Minister to revoke the change.

Mittal and Atwal said repeated pleas to Union ministries concerned were not heeded so far.
Saying that truckers and transporters have been clamouring for a nationwide strike, they warned, “The AIMTC governing body meeting scheduled for May 17 may result in some strong decision.”
Meanwhile, almost all State level truckers’ federations have authorised the national body to take a call on the strike as a show of unity among them. “We have decided to entrust the responsibility with the AIMTC to decide on the strike. So they will take a decision on the issue,” M R Kumarasamy, president of State Federation of Lorry Owners Associations-Tamil Nadu, told Express on Sunday.

“We all are looking forward to the views of the members of managing committee at the meeting. A final decision on calling for an indefinite strike will be taken then,” P V Subramani, vice-president (South zone), AIMTC.