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Permit rooms declare strike on July 14 over tax hike

Permit rooms declare strike on July 14 over tax hike

Hindustan Times2 days ago
PUNE: All permit rooms in Pune, Pimpri-Chinchwad and the rest of Maharashtra will remain shut on Monday, as part of a statewide protest against the steep hike in liquor prices, Value Added Tax (VAT), and licence fees imposed by the state government. The district administration has issued orders against late night serving of alcohol in Indore. (Arun Mondhe/HT photo)
The call for the one-day bandh has been given by the Pune Restaurant and Hoteliers Association (PRAHA) to oppose the state government's tax hikes, including a rise in VAT on liquor to 10 per cent, a 15 per cent increase in annual licence fees and a 60 per cent spike in excise duty, in a span of one year.
The association said that the strike is aimed at highlighting the severe impact of the government's policies on the hospitality sector, especially small and medium-sized permit room operators.
In Pune, over 800 permit rooms are expected to remain shut on the day.
'The steep increase in liquor rates, coupled with the hike in VAT and licence fees, is making it extremely difficult for permit room owners to continue operations. Monday's closure is a symbolic step to make our voices heard,' said Ganesh Shetty, PRAHA president.
PRAHA vice-presidents Vishwanath Poojary and Jawahar Chorge, treasurer Mohan Shetty, and secretary Rajesh Shetty expressed concern over the growing financial strain on the members. They said the cumulative burden of rising operational costs, taxes, and regulatory fees has left many on the verge of closure.
'The state government's recent decision to increase VAT on liquor and hike licence renewal fees was taken without consulting stakeholders. We want dialogue and a reasonable policy,' said Chorge.
Industry representatives said they had earlier submitted memorandums to government officials, but received no satisfactory response. If the situation does not improve, the association warned of intensifying the agitation in the coming weeks.
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PM Modi leads nation in paying tribute to legendary marathon runner Fauja Singh
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time11 hours ago

  • Hindustan Times

PM Modi leads nation in paying tribute to legendary marathon runner Fauja Singh

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Clear delays profits as it expands into Europe and Middle East

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Mumbai sees redevelopment projects worth ₹18,000 crore amid signs of softening sales: Here's what you need to know
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Mumbai sees redevelopment projects worth ₹18,000 crore amid signs of softening sales: Here's what you need to know

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'Particularly in the suburbs, redevelopment presents a rare opportunity to build at scale, upgrade infrastructure, and introduce lifestyle features that greenfield projects often can't accommodate. That's why we're seeing a surge in announcements from suburban areas. Land parcels are larger, societies are better organised, and there's strong demand for transformation," he said. Also Read: Tesla plans to open Mumbai showroom on July 15: Key facts on India's costliest lease deal and its real estate portfolio 'In contrast, redevelopment in South Mumbai is more nuanced. Project scales may be smaller due to heritage and density constraints, but the value creation is significant. Here, redevelopment is focused on exclusivity, heritage restoration, and delivering ultra-premium experiences. While the pace may be steadier, the impact on the skyline and quality of life is no less substantial,' he said. According to Sunteck Realty, even in prime locations, many older societies lack the modern conveniences and aesthetic appeal that contemporary homebuyers desire. The company said redevelopment not only bridges this gap but also significantly enhances the property's value, making it a win-win for both homeowners and developers. Why are developers announcing redevelopment projects despite softening of sales in Mumbai? According to data shared by analytics firm Propequity, the Mumbai real estate market, along with Thane, Navi Mumbai, and Pune, saw a decline in housing sales and new launches in Q2 2025. In Mumbai, housing sales dropped 34% year-on-year to 8,006 units in Q2 2025 from 12,114 units in Q2 2024. New launches also fell sharply by 61% to 4,949 units, compared to 12,610 units in the same quarter last year. Also Read: Mumbai, Thane, Navi Mumbai, and Pune see a decline in housing sales and supply in Q2 2025 According to experts, the recent spate of redevelopment announcements by listed developers signals a phase of consolidation. However, this momentum may soften over the next year. 'The redevelopment activity by listed players reflects a consolidation of their strong sales over the past 3–4 years. That's why we're seeing a barrage of new project announcements, with supply expected to hit the market within the next 12 to 18 months, possibly even sooner,' said Ritesh Mehta, Senior Director and Head (North and West), Residential Services and Developer Initiatives, JLL India. 'While the market is seeing healthy competition, sales are currently somewhat soft. However, listed developers remain relatively comfortable, having posted strong sales over the past few years. This gives them the cushion to endure a period of slower sales as these new projects hit the market over the next 18 months or sooner,' Mehta said. 'Of course, conditions will differ across micro-markets. In areas with limited supply, new launches are less of a concern, and developers are likely factoring that in. In redevelopment projects, a significant portion of the inventory is absorbed by existing tenants who choose to purchase units. Typically, about 20% is sold to them, leaving the remaining 80% for the open market,' he said. "Given that these listed players are sitting on strong sales over the last four years, it seems clear they're consolidating their positions accordingly. Over the next 1-1.5 years, we might see redevelopment announcements soften a bit. The current frenzy may not continue at the same pace. For now, we'll have to wait and watch how things unfold," Mehta added.

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