Nationwide Shutter-Down Strike Observed by Traders in Pakistan Against Tax Reforms

Traders across major cities in Pakistan staged a shutter-down strike on Wednesday, protesting against the government’s recent tax reforms, including the controversial Tajir Dost Scheme. The strike, which saw widespread participation from the trading community, reflects growing discontent over high taxation, inflated electricity bills, and the perceived burden on small businesses.

Background of the Protest

Earlier this month, key trader organizations, including the Markazi Tanzeem-i-Tajran Pakistan and the All Pakistan Anjuman-i-Tajran, called for a nationwide strike in response to the Tajir Dost Scheme. The scheme, alongside other tax reforms, has been criticized for imposing heavy financial burdens on traders, particularly small business owners. The issuance of tax challans amounting to Rs60,000 to small businesses has sparked outrage, especially since those registered under the scheme were initially promised they would not have to pay more than Rs1,200 in taxes.

Nationwide Participation and Political Support

The strike has garnered significant support across the country, with traders in Karachi, Punjab, Khyber Pakhtunkhwa, and Sindh all participating. In Karachi, the Anjuman-e-Tajiran Karachi announced a complete closure of businesses, with support from the Karachi Electronics Dealers Association (KEDA). Mohammad Rizwan, President of KEDA, confirmed that trade unions from Karachi to Khyber were united in the strike.

In Punjab, cities such as Vehari witnessed a complete shutdown of business centers, including prominent markets on Club Road, Jinnah Road, and Multan Road. The strike extended to Sindh, where traders in cities like Nawabshah, Tando Allahyar, and Thatta also joined in, closing both large-scale and small-scale businesses.

In Khyber Pakhtunkhwa, Peshawar’s major markets, including Sadar Bazaar and Qisa Khwani, were closed as traders set up protest camps in front of shuttered shops. The strike was equally effective in Dera Ismail Khan, where all commercial centers were closed in support of the protest.

Traders’ Demands and Government Response

The protesting traders have condemned the government’s tax reforms, arguing that the policies are making it increasingly difficult for small businesses to survive. Javed Shams, President of the All Pakistan Anjuman-e-Tajiran’s Sindh chapter, criticized the ruling class, stating that the “Trader Friendly Scheme” is unacceptable in its current form. He emphasized that the government’s actions are threatening the livelihood of the business community.

Political parties, including Jamiat Ulema-e-Islam Fazl (JUI-F), Pakistan Tehreek-e-Insaf (PTI), Jamaat-e-Islami (JI), and Awami National Party (ANP), have thrown their support behind the traders, adding pressure on the government to address their concerns.

In response to the strike, Rana Ihsaan Afzal Khan, Coordinator to the Prime Minister on Implementation and Monitoring, stated that the government would not be pressured by the traders. Speaking on a television program, he invited the traders to discuss their grievances but maintained that the retail sector must come under the tax net as part of broader efforts to reform the Federal Board of Revenue (FBR).

The nationwide strike by traders highlights the deepening rift between the business community and the government over tax policies. As the strike continues, it remains to be seen whether the government will heed the traders’ demands or if the confrontation will escalate further. For now, the shuttered markets across Pakistan stand as a symbol of the growing discontent among traders and the challenges facing the government in implementing its tax reforms.

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