The textile industry of Panipat strongly opposing the VAT of 13.25 percent levied on products like bedsheets, cushion covers, teri towels, curtains and other items stating that it would collide the local textile industry which is currently facing tough competition from the Chinese imports.

Roshan Lal Gupta, vice-president of Haryana Veopar Mandal, said that the entrepreneurs had already made an appeal to the state government to take back the new levy as the VAT would ruin local textile industry.

The district textile traders also submitted a memorandum to Panipat tehsildar opposing the new tax. The traders held a protest and raised slogans against the state government and burned effigy of chief minister Bhupinder Singh Hooda. They also warned that if the government did not rollback the VAT, they would greet the CM with black flags on the Independence Day at Panipat, where he is scheduled to hoist the National Flag.

The textile industry of Panipat, on Wednesday, began the two-day bandh against the imposition of increased VAT on textile units. During the bandh many markets like Amar Bhawan Chowk, Sethi market and SD College road shopping area wore a deserted look.