Coin Paratha and Masala Fried ChickenThiruvananthapuram: Private outlets selling poultry Monday downed shutters in Kerala as part of their indefinite stir in protest against the government's decision to bring down the prices after Goods and Services Tax (GST) came into force.
With this, several eateries, especially restaurants, did not have popular chicken delicacies on their menus Monday. Due to the trawling ban in force, the fish supply in markets had also dwindled.
While the government insisting on Rs 87 per kg for live chicken, the traders have said they cannot sell at that rate as they would have to incur huge losses.
The 23 outlets of the state-owned Kerala State Poultry Development Corporation (KEPCO) in Thiruvananthapuram witnessed a heavy rush since morning with people from far off places coming to purchase broiler chicken, sources said.
The corporation which has its plant with a production capacity of about 1,200 kg birds a day, today increased its capacity to 1,500 birds due to the demand.
The outlets charge Rs 150 for processed chicken while the traders sell live birds at Rs 140 per kg.
A private stall at Kozhikode is selling chicken at Rs 157 per kg and has sought police protection after traders allegedly threatened them to down shutters.
Meanwhile,traders shifted several truckloads of poultry from Palakkad to neighboring Pollachi and other places in Tamil Nadu last night in view of the strike.
Earlier the VAT on chicken was 14.5 percent and with GST coming into force, it is zero tax.
Minister threatens legal action
Finance minister Thomas Isaac Monday said there was no going back on the rate fixed by the government.
"It is unfortunate that traders do not want to pass on the GST benefit to consumers and instead are prepared to face even losses by transporting poultry back to Tamil Nadu," he said. The minister also threatened legal action against those smuggling out poultry to neighboring states.
According to the government, chicken prices were raised 'artificially' to Rs 130 a kg just before the GST roll out on July 1.
The traders had rejected the government's directive to lower prices and are demanding Rs 100 per kg, saying they were getting the poultry products from neighboring Tamil Nadu at a higher rate.
Fish workers have also asked the government to reduce GST for various fishing equipment, nets and hooks.
Read more: GST Fallout | Kerala Hotel and Restaurant Association to lower food price
