Chandigarh: In a major step towards strengthening the voice of traders and promoting ease of doing business, the Punjab Government has constituted the State Traders Commission. The newly formed body will serve as a bridge between the government and the trading community, addressing long-pending issues such as VAT disputes, GST-related challenges, and policy reforms to support small and medium traders across the state.
Governor Gulab Chand Kataria has approved the proposal, following which the state government issued an official notification. As per the notification, the Excise and Taxation Minister will serve as the Chairman of the Commission, while a prominent businessman from Punjab will be appointed as the Vice-Chairperson. The Secretary, Excise and Taxation Department, will act as the Member Secretary. Administrative Secretaries from the Labour, Food and Civil Supplies, Industries, and Local Government Departments, along with representatives of trader associations, will serve as members of the Commission.
To ensure better representation at the grassroots level, the government will also form district-level and assembly constituency-level committees. These committees will raise the concerns of local traders before the Commission and help in the implementation of welfare schemes and policies designed for their benefit.
Functions of District and Constituency Committees
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Act as grievance redressal forums for local traders and markets.
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Oversee on-ground implementation of government schemes related to traders’ welfare.
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Coordinate with local administrations, market committees, and municipal bodies to create a trader-friendly ecosystem.
Long-Pending VAT and GST Issues to Be Addressed
Badish Jindal, President of the World MSME Forum, welcomed the government’s decision, calling it a long-awaited reform. He pointed out that several VAT cases have been pending since 2011–12, causing immense hardship to small traders. “The government has announced multiple settlement policies over the years, but many cases remain unresolved. Now, with this Commission in place, these issues can finally be taken up at the right platform,” Jindal said.
He also raised concerns about the growing instances of fake GST billing and input tax credit frauds, which have affected the state’s revenue collection. “Punjab’s GST revenue remains lower than Haryana’s. Many traders face heavy penalties and are forced to approach the courts directly. The new Commission will help ensure fair redressal of such cases,” he added.
Highlighting another issue, Jindal said that edible oil attracts GST, but oil mills are exempt, which results in a tax imbalance. The Commission is expected to examine such anomalies and recommend corrective measures to the government.
With the establishment of the State Traders Commission, Punjab’s trading community is optimistic about a new era of transparency, policy stability, and trust between the government and business sector.
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