Goa today refused to withdraw the entry tax imposed on the vehicles arriving from other states, even as strong protests were held at Banda village in Maharashtra, demanding roll back of the tax.
Chief Minister Manohar Parrikar told reporters this morning that the state has begun collecting entry tax for the vehicles entering Goa from other states.
The neighbouring states, too, have been charging tolls, which is similar to the entry tax imposed by Goa, he said.
The state government's decision evoked strong resentment among the people living in districts of Maharashtra and Karnataka, bordering Goa.
While the road on Mumbai-Goa Highway at Banda in Sindhudurg district was blocked, the wholesale dealers from Belgaum in Karnataka stopped the transport of essential commodities like vegetables, groceries and others.
The vehicles bearing Goa registration and proceeding towards Sindhudurg were stopped by a mob of hundreds of people at Banda.
Eye witnesses said that there were long queues of vehicles at Patradevi check post, bordering Maharashtra.
Parrikar refused to roll back the entry tax claiming that the people from neighbouring states cannot dictate terms to Goa.
He, however, said the vehicles from Sindhudurg, Belgaum and Karwar would be given concession in the form of monthly passes, later.
"Currently we are observing the traffic from these districts. We will give them concessions in the form of monthly passes," the Chief Minister said, adding that the state is ready to give concession to regular commuters.
