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Online edition of India's National Newspaper Thursday, May 03, 2001 |
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Govt. hospitals worst hit by Bihar chemists' strike
By Our Staff Correspondent
PATNA, MAY 2. The indefinite strike by the chemists and druggists
demanding withdrawal of the recently imposed turnover tax entered
the sixth day today, making life miserable for the improvised
strata of people in this equally fund starved State.
The indefinite strike, the longest in about two decades, is
alleged to have affected medicare in government hospitals and
dispensaries across the State with reports claiming that over
three dozen patients had succumbed to their ailments for want of
medicines, including life saving drugs.
The wholesale and retail traders had stopped supply of even life
saving drugs to the government hospitals in a bid to intensify
their agitation to press for implementation of the agreement
reached about four months ago in which the government had assured
to withdraw the one per cent TOT by April 2.
The situation is made critical by the deadlock between the
government and the Bihar Chemists and Druggists Association
(BCDA) with no signs of negotiations in sight between the two.
The Government had imposed the TOT in July last in preparation
for off setting the losses arising from the division of the
State, which was eventually effected in November last.
The BCDA had been agitating over the government action and had
also observed token strikes in the past maintaining that the
increase in the taxes would affect sales and their profits. The
one per cent TOT is applicable at four points, besides the eight
per cent sales tax on medicines, which together compound for
almost 12.5 per cent tax on pharmaceutical items.
At the same time the TOT brings the retail medicine stores under
government control, which the drug stores apparently are trying
to avoid and hence the stand off. They fear that this would allow
for corrupt practices by the officials, while the government is
upset that most of 20,000 add outlets kept themselves out of the
preview of the tax net by concealing their actual sales.
The strike has exposed the health care in premier government
hospitals where the common masses have to fend for themselves
with no stock available even at the Patna Medical College
Hospital. Surprisingly, while the government was preparing for
the indefinite strike, it obviously had not made any arrangement
to cope with the situation even at its own health centres.
Private nursing homes are better placed with the retail drug
outlets clandestinely maintaining the required medical provision.
This, undoubtedly, underscores the division in the BCDA, though
its strike has obtained the moral support of other trading
organisations.
Needless to say the government is trying to take advantage of the
situation by prompting these retailers to procure medicines from
other States. That could be one reason the government has not
cracked down with the implementation of the Essential Commodities
Maintenance Act (ESMA). The Government has given the District
Magistrates power to invoke the provisions of the ESMA if it
thought is necessary and arrest the retailers and forcibly open
their shops and come to the rescue of the people in general.
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