Three weeks after the Reserve Bank of India claimed that 99% of the banned currency had returned to the banking system, the Congress’s intellectual cell (Vichar Bibhag) held a seminar on the impact of the note ban on Thursday afternoon.
Anand Sharma, Deputy Leader of the Congress in the Rajya Sabha, was one of the main speakers. He wrapped up saying what awaited the unsuspecting public eventually was a “double whammy”, with the introduction of the Goods and Services Tax (GST).
Tapping into the anger among traders and small businessmen over GST is now part of the Congress’s latest political strategy, especially in poll-bound States like Gujarat where the business community can be a determining factor.
“This time, the GST issue will play an important role, especially in urban areas,”said Bharatsinh Solanki, who heads the Congress party in Gujarat.
Mr. Solanki did not confirm it, but other leaders in Gujarat say they are trying to organise a meeting of traders and professionals in Rajkot during Congress vice-president Rahul Gandhi’s three-day tour of the State that starts on Monday.
A similar meeting of Mr. Gandhi with textile traders had been arranged on September 4 when he visited the State last.
For the major part of July, the industrial hub of Surat — famous for its textile and diamond trade — witnessed large scale protests by traders and small businessmen.
Administrative failure
Senior Opposition leader Shaktisinh Gohil described it as an example of BJP’s administrative failure. “Instead of tax simplification, it has become so complicated that it is affecting everyone, not just traders,” he said.
The Congress party is keen to woo back traders and small business entrepreneurs who are seen to be among the BJP’s core voters. Since July 1, the party has organised 42 protest meetings across all the major trading hubs of Delhi.
Praveen Khandelwal, secretary general of the Delhi-based Confederation of Indian Traders that represents six crore traders across the country, admits the sense of unease among traders, but puts the blame on the “miserable failure of the GST Network.” Mr. Khandelwal is associated with the BJP.
Arguing that GST filing is entirely technology-based and the system cannot afford to have glitches, he maintained that the Congress cannot escape responsibility.
"Finance ministers of Congress-ruled states were there in the GST Council and they agreed to every decision. They are also responsible," said Mr.Khandelwal
The Congress countered this by arguing that there were far too many changes to the GST from their version. "This is not the GST that the Congress had planned. Only the name is the same,’’said Ajay Maken who spearheaded the campaign against the GST in Delhi.
