Mobile Phone Retailers Plan October 2 Protest Against UPI MDR Charges
· Business · Hindustan Times, Times of India, The Hindu
Mobile phone retailers across India plan to observe October 2 as No UPI Day in protest against the newly introduced 0.4 per cent merchant discount rate on UPI transactions. The All India Mobile Retailers Association announced that retailers will symbolically cover their UPI QR codes with black cloth and refuse UPI payments on Gandhi Jayanti. The government has introduced the 0.4 per cent fee on UPI transfers exceeding ₹2,000 for merchants starting October 15, while keeping person-to-person transfers and small payments exempt. Retailers argue this merchant fee will impose an unsustainable burden of approximately ₹40 crore per month nationwide. The mobile retailers' body stated that the levy will cause an immediate net monthly loss of ₹2,000 to ₹12,000 for small retailers processing between ₹5 lakh and ₹30 lakh monthly.
Why it matters
Small mobile retailers face a significant financial hit that threatens their profit margins as digital transaction fees take effect.
Read the original report — Hindustan Times
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