India News | Madhya Pradesh: Indore Traders Observe ‘No UPI Day’ Against New MDR Charges
Get latest articles and stories on India at LatestLY. Traders in Indore observed a symbolic ‘No UPI Day’ on Wednesday to protest against the proposed imposition of a 0.4 per cent Merchant Discount Rate (MDR) on UPI transactions above Rs 2,000, with several shopkeepers putting up stickers outside their establishments as part of the protest.
Indore (Madhya Pradesh) [India], September 23 (ANI): Traders in Indore observed a symbolic ‘No UPI Day’ on Wednesday to protest against the proposed imposition of a 0.4 per cent Merchant Discount Rate (MDR) on UPI transactions above Rs 2,000, with several shopkeepers putting up stickers outside their establishments as part of the protest.
The traders said the proposed charges would ultimately increase the cost for consumers and contribute to inflation. They demanded that the decision be reconsidered, warning that they may return to cash transactions if the charges are implemented.
Akshay Jain, president of the Indore Retail Garment Association and joint secretary of the Ahilya Chamber of Commerce and Industry, said the protest was supported by around 125 trader organisations.
“Today, we are holding a symbolic protest. The Ahilya Chamber of Commerce has announced ‘No UPI Day’. Around 125 trade organisations have supported the call, and all of them are conducting cash transactions today. The purpose of the protest was to draw the government's attention to the concerns of traders and try to understand our request. If you impose any kind of surcharge, it will add to the cost, and when the cost increases, inflation will rise. We are in favour of ensuring that inflation does not increase,” Jain said.
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The trader added that although the government may state that the charge would be imposed on merchants and not customers, the additional cost would eventually be reflected in the prices paid by consumers.
“A merchant does not create money. A merchant sells goods, and any increase in the cost of goods will ultimately be passed on to the customer,” he said.
Recalling the shift towards digital payments after 2016, Jain said traders had adopted digital transactions following the government’s push for a digital economy.
“We supported the government and adopted digital payments. In 10 years, we have brought 85 per cent of our business onto digital payments. After we have shifted to digital payments, the government should not break the system that was created with our support. We urge the government to reconsider its decision, as it will drive up inflation; steps must be taken to prevent this rise in prices,” he said.
Jain further added that traders would accept the payment until October 15 but may be forced to return to cash transactions thereafter if the proposed charges are implemented.
Another trader, Hemant Doshi, who runs a ready-made garment store in Indore, said the traders were opposing the proposed charge on transactions above Rs 2,000 as it would eventually affect customers.
“We are observing ‘No UPI Day’ today. We are opposing the charge that the government has proposed on transactions above Rs 2,000 because its direct impact will be on the customer. We cannot pay it from our own pockets, so we will have to recover it from customers by increasing our prices,” Doshi said.
Doshi said traders were conducting only cash transactions as part of their protest on Wednesday and later they would accept UPI payments for amounts below Rs 2,000.
“Today, we will not take even a single rupee through UPI. If this MDR is not withdrawn, then we will not accept payments above Rs 2,000 through UPI. Payments above Rs 2,000 will be accepted in cash, while payments below Rs 2,000 will be accepted through UPI,” Doshi said. (ANI)
(The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)