Entry Tax Row: Punjab Transporters Block Chandigarh-Manali Highway; Thousands Stranded

Chandigarh-Manali Highway Blockade: In protest against the Himachal government's new 'entry tax,' transport unions from Punjab have staged a massive blockade on the Chandigarh-Manali Highway. Long queues of vehicles have formed at the border, leaving tourists and locals stranded.

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April 4, 2026 7:57 PM
Entry Tax Row: Punjab Transporters Block Chandigarh-Manali Highway; Thousands Stranded
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CHANDIGARH: Commuters heading to the hills faced a harrowing Saturday as Punjab’s taxi and truck unions launched a massive chakka jam on the Chandigarh-Manali National Highway. The blockade, which began at 9 AM, is a flashpoint of anger against the Himachal Pradesh government’s new ‘Entry Tax’ on commercial vehicles.

By noon, the protest had intensified, leaving thousands of tourists and locals stuck in serpentine queues of vehicles stretching for kilometers on both sides of the highway. The transport unions have dug in their heels, stating the blockade will continue until 8 PM tonight.

‘Selective’ Tax Hits Punjab Operators Hard
The bone of contention is a recent notification by the Himachal sarkar. Union leaders allege the policy is “discriminatory” and a direct blow to the rozi-roti (livelihood) of Punjab-based transporters.

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According to the protesters, the Himachal government has exempted its own locally registered taxis and small commercial vehicles from the entry fee, while slapping heavy taxes on vehicles coming from Punjab and other neighboring states.

“This selective exemption has destroyed the level playing field,” said Paramjit Singh Pamma and Gaurav Rana, prominent union leaders at the site.

Terming the decision “illegal” and against the spirit of fair trade, the leaders argued that the policy is designed to create a monopoly for Himachal operators while financially penalizing outsiders.

Tourism and Earnings Take a Hit
Ground reports from the protest site paint a grim picture for drivers. Many shared that the extra tax burden is making their services too expensive for tourists, who now prefer hiring local Himachal vehicles to save costs.

“Our earnings have crashed,” lamented a driver operating near the border. The transporters are demanding an immediate rollback of the notification and the implementation of a uniform tax policy that applies to all commercial vehicles, regardless of which state they are registered in.

Chaos on the Road
While local police and administration attempted to divert traffic to alternate routes, the sheer scale of the protest meant most commuters remained stuck. The gridlock has left families and travelers stranded in the summer heat for hours.

Punjab’s transport unions have now reached out to the Punjab government, urging them to intervene and hold a dialogue with the Himachal administration to resolve the crisis before the situation escalates further.

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