Fishmeal Association threatens strike over retrospective GST

The All India Fishmeal and Oil Manufacturers and Merchants Association on Friday threatened to go on indefinite strike if the government impose GST retrospectively. "We were assured the industry which was enjoying nil tax will continue to do so after the implementation of the goods and services tax. However, in December 2018, a circular clarified that fishmeal is taxable at the rate of 5 per cent with effect from July 1, 2017," Maharashtra Fishmeal and Oil Manufacturers and Merchants Association president Narendra Patil told reporters here.

After the circular, the GST department has started harassing the industry, he said. "They have started forcing us to pay tax from July 2017, which was not collected by the industries throughout the country and have started attaching the bank accounts of the traders," Patil added.

This has resulted in stoppage of the business transactions and the industry is not in a position to pay for the fish purchases nor the salary to the employees. "We have no problem of paying taxes, however, we are not in a position to pay it in retrospective as we have not collected it from anyone. We have no option and are forced to go on strike," he added.

The industry, which gives direct employment to more than 25,000 people and indirect employment to lakhs, will be forced to close down leading to disastrous consequences to fishermen who depend on the fishmeal industry for their earnings, he said. The association said they have approached ministers concerned and department officials in this regard and given their representation on the same.

Fishmeal is made out of the waste fish used as animal feed, catering to poultry, shrimp, farmed fish, pig feed among others, he said. India produces Rs 12,000 crore worth or 2 lakh tonne fishmeal per annum, he added..