New Delhi : Kerala government will write to the drug manufacturers to support drug retailers and reimburse the losses they faced because of goods and service tax implementation. All Kerala Chemists and Druggists Association (AKCDA) approached the government about the losses that gripped the drug retailers because of the GST implementation. Kerala government responded positively and assured AKCDA that govt will write letter to the drug manufacturers.
In the running monsoon season, Kerala affected by various fevers and no drugs shortage faced by the Kerala citizens as the minister assured the retailers that no one going to face losses because of Goods and Service Tax (GST).
The minister of industries, A C Moideen said that it is the responsibility of the companies to compensate the losses incur due to the new GST implementation. He said the government to force the companies to bear the loss of the retailers as they are selling their manufactured drugs.
Government Minister asked the support of the retailers at the time of need when state really need continue supply of the medicines to fight with the fevers. And AKCDA also said that if manufacturers will not bear the losses then retailers will boycott their products in future.
AKCDA’s president AN Mohan said that manufacturers ready to reimburse 5% of the loss by the wholesalers. Retailers are big contributors of the business chain and they are the real source of the customer and product interaction. If manufacturers not took responsibility to pay losses then the retailers have to bear 13% of the losses on the stock they sold till 30 June 2017. AKCDA want the manufacturers to bear 8% of their losses so they can manage their business.
Retailers said that they supported the state and continued the supply of the drugs when the state is suffering from the fevers, so its government responsibility to support us in this matter. Our demand are genuine and government should need to take right step to help us run our shops otherwise we all will be in debt.
