Exim News Service reported that, besides the staggering 10% hike in diesel and petrol prices, the truck owners face the dismal prospect of shelling out a higher service tax and to oppose the service tax hike, truckers have warned of an indefinite strike from July 1st 2008 unless the finance ministry rescinds the proposal.

Mr Deepak Sachdeva president of Delhi Goods Transport United Front said that "We are planning to go on an indefinite strike from July 1st 2008 and have given notice to the government and informed our member associations. The service tax department has served recovery notices on truckers, raising tax incidence from 3.09% to 12.5% which is not acceptable."

He said that All India Motor Transport Congress, to which his association is affiliated, would now decide the course of action to be taken. He added that already AIMTC has hiked the road freight rates by a hefty 15% to 20%.