Bhubaneswar, March 26: The state government and traders demanding waiver of value added tax (VAT) from pulses, sugar and other essential commodities will meet again on Tuesday after their meeting on the issue today failed to reach a resolution.

It was decided that both the sides would meet to have another round of discussion on the contentious issue.

Odisha Byabasayee Mahasangha general secretary Sudhakar Panda said: "The government has given a few proposals on this issue. Our executive body will take a call on those proposal. We will meet the government officials on Tuesday before deciding whether to go on strike from April 1 in support of our demand. If we go on a strike, the traders will stop importing the essential commodities."

Earlier, the traders' association had alleged that despite their repeated pleas, the government refused to withdraw the VAT. Moreover, they were also suffering because of the state's prevalent faulty tax structure.

"There should be uniform tax structure as in other states," he said.

Food supplies and consumer welfare minister Sanjay Das Burma said: "The finance minister chaired a meeting where we had a cordial discussion with the traders. We have urged them not to go on strike. They have expressed their views. The government has also conveyed its views to them. We will hold more discussions on this issue."

Sources said the government was examining the financial implications if it withdrew the VAT from the essential commodities, from which it earns around Rs 14,500 crore yearly.