Ration supply is likely to come to a standstill in the State from Saturday following an indefinite strike declared by ration transport contractors in protest against Supplyco’s failure to pay their mounting dues.
The agitation is expected to disrupt the supply of ration goods from the Food Corporation of India godowns to Supplyco warehouses and ration outlets.
The decision by contractors to suspend the distribution of ration articles comes in the wake of multiple requests made to seek their dues pending since October last that is estimated to be around ₹100 crore.
The Kerala Transporting Contractors Association (National Food Security Act) had observed a token strike in December last. The agitation had called off the strike on December 13 after the Chairman and Managing Director of Supplyco assured to clear 90% of the dues within 14 days and the remainder within February 28 after conducting a financial audit.
“However, the government and Supplyco have reneged on the promise, citing the prevailing fiscal crisis. As a result, several contractors have begun to face financial hardships by way of their inability to repay loans and remunerate head-load workers. Lorry owners have also been refusing to provide their vehicles for transporting ration items owing to our inability to clear our dues,” association treasurer Gopalakrishnan said.
He also pointed out that the contractors have also been slapped huge penalties by Kerala Head Load Workers Welfare Board owing to the delay in depositing their shares towards the welfare fund.