• Source:JND

Mumbai Bars Closed On July 14: The liquor sale in Maharashtra will see a dip on July 14 as over 20,000 bars and permit rooms across the state will shut operations to protest against what they termed the state government’s 'draconian taxation'

The bandh has been announced by the Indian Hotel and Restaurant Association (AHAR) on Saturday. In its statement, AHAR said that the bandh is to oppose the state government’s tax hikes, including a rise in VAT (value added tax) on liquor to 10 per cent, a 15 per cent increase in annual licence fees, and a 60 per cent spike in excise duty, within a year.

The statement said that the tax hikes have been pushing the Rs 1.5 lakh-crore industry to the edge of collapse. AHAR president Sudhakar Shetty said, "The entire hospitality sector in Maharashtra is bleeding. Our pleas have fallen on deaf ears.

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On July 14, every bar and permit room in the state will be shut in protest. Entire Maharashtra bars will remain shut against the state government’s draconian taxation".

He added that the AHAR members across Mumbai, Pune, Nashik, Nagpur, and Konkan have confirmed participation in the bandh. The statement emphasised that these hikes, clubbed with ongoing post-COVID recovery challenges, have made the business model unviable for thousands of establishments.

It claimed that the move will wipe out thousands of small and mid-sized businesses and also lead to mass unemployment and a black market surge in liquor smuggling from neighbouring states, it claimed.

"This is not just an economic blow, it is a death blow to an industry that contributes significantly to employment and state taxes," said Shetty.

Over 20 lakh people are directly and indirectly making a livelihood from the 20,000-strong permit rooms and bars industry. Moreover, it supports a wider ecosystem of 48,000 vendors.

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The July 14 bandh has received full support from the National Restaurant Association of India (NRAI), Hotel and Restaurant Association (Western India) – HRAWI, and affiliated as well as non-affiliated associations of hotels and restaurants in Maharashtra.

HRAWI president Jimmy Shaw said, "We stand united with our fraternity members across Maharashtra in expressing our deep concern over these regressive policy measures. If implemented, they will further strain the already fragile business environment and will hurt both consumers and operators."This peaceful protest is intended to draw urgent attention to the disproportionate impact of the move,he added.

(With PTI Inputs)