SRINAGAR, India, 10 June 2008 — Police used water canon and batons in Kashmir yesterday to disperse hundreds of government employees protesting increase in fuel prices, while a general strike also shut down the northeastern state of Assam.
Elsewhere in the country, though, life continued as normal as protests over last week’s rise in fuel prices appeared to taper off.
India increased petrol and diesel prices by around 10 percent last Wednesday, after the cost of subsidizing fuel in the face of record-breaking crude prices had brought state oil companies close to bankruptcy.
With less than a year to go to elections, the government’s communist allies and the opposition called for protests against the move, but many people complained that strikes in several states last week had only made a difficult situation worse.
The fuel price blow was also cushioned after several state governments announced duty cuts of between two and five percentage points, although Kashmir has not yet announced any duty cuts and Assam made only a tiny cut in sales tax.
In Kashmir, dozens of people were also detained after government employees gathered outside the office of the state’s chief minister in the heart of Srinagar to protest against the fuel price rise.
“Roll back price of petrol, diesel and cooking gas,” the protesters shouted before being dispersed by police.
A four-day strike called by private transport operators demanding an increase in passenger fares and freight charges also forced thousands of people to walk to work. Officials said the government would deploy buses and other vehicles to offer rides after the strike threw about 75,000 vehicles off the roads across the state.
In the northeastern state of Assam, tribal groups called a 12-hour shutdown yesterday accusing the government of inept handling of oil prices. Offices, banks, shops and schools were closed and traffic stayed off the road.
“The government has no concern for the common people,” the coalition of tribal groups from Assam’s hill areas said in a statement. “This will force tribespeople into starvation.”
The strike seemed to enjoy popular support. “It is a genuine issue,” said Naba Pathak, a government clerk in Guwahati. “And people irrespective of caste, religion and political affiliation should support this bandh (strike).” Landlocked in one of India’s remotest regions, much of Assam’s supplies come from outside and a rise in fuel prices has a ripple effect on the prices of essential goods.
Nepal to Raise Prices
In neighboring Nepal, the government sanctioned a rise in fuel prices yesterday to stem losses by the state-run oil firm and overcome a domestic oil shortage caused by record-breaking fuel prices. The government said the Nepal Oil Corporation, which has a monopoly on oil imports, would decide how much to raise prices.
The tiny Himalayan kingdom of Bhutan also announced a hike in petrol and diesel prices by around 10 percent on Sunday.
Protests are also possible in Nepal. In January the government backed down on a decision to raise fuel prices after fierce anti-government protests across the country crippled life for two days.
