The Federation of All Odisha Traders’ Associations (FAOTA) decided to withdraw the strike following an agreement with the state government at a meeting convened by Finance Minister Pradip Kumar Amat and attended by Food Supplies and Consumer Welfare Minister Sanjay Dasburma.

According to the agreement at the meeting, the state government will set up a 7-member committee comprising four members from the administration side and three members from
traders, to study different aspects associated with the proposal of lifting 5 percent VAT on pulses, wheat and wheat products, an official said.

The committee will submit its report within three months, he cited adding the traders have agreed to cooperate with the government till then.

The traders on April 9 stopped importing pulses, wheat and wheat products from other states demanding lifting of VAT on such products like in neighbouring states.

While nearby states do not charge VAT on dal and wheat, Odisha collects 5 percent VAT on the products, the traders pointed out.

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