Truck owners and operators launched an indefinite nationwide strike on Monday against increasing diesel prices and a sharp hike in third-party insurance premiums.
"The indefinite strike against the soaring diesel prices and steep rise in the third-party insurance premium began this (Monday) morning. About 90 lakh trucks are expected to be off the road and as of now, over 60 per cent trucks were not plying on roads across India," All India Confederation of Goods Vehicle Owners' Associations president Channa Reddy told reporters.
"The government's argument is that the fuel price increase was due to international prices. However, we think the reason for price increase is not due to international prices but high taxes levied by the governments at the Centre and the states," Reddy said.
Demanding the inclusion of diesel prices or petroleum products in the ambit of Goods and Services Tax (GST), the Federation of West Bengal Truck Operators' Association joint secretary Sajal Ghosh said there has been a good response in the state where about 3.5 lakh trucks would not ply on the roads.
He said the federation is also protesting the alleged excesses of the police and Motor Vehicle Department in West Bengal.
Moreover, truck owners requested the Insurance Regulatory Development Authority of India to de-tariff the third-party insurance premium as it has done in the case of comprehensive insurance policies, Reddy said.
"The trend of annual increase of third-party insurance premiums has been continuing for last 15 years even after opening up of the insurance sector [to foreign investment]. To stop the increase per year, we have requested the IRDAI to de-tariff this. But the authority has not responded to our demand," Reddy added.
The strike is likely to cause a hike in prices of perishable goods items due to supply constraint.