Madhya Pradesh traders, retailers observe ‘No UPI Day’, seek rollback of MDR charges
In cities like Bhopal and Indore, QR code stickers and payment confirmation soundboxes on several shops were seen covered with a black cloth, with the traders requesting customers to pay in cash
On September 23, 2026, traders and retailers across Madhya Pradesh held a 'No UPI Day' protest to seek the rollback of Merchant Discount Rate (MDR) charges imposed on UPI transactions. The protests took place in major cities like Bhopal and Indore, where QR code stickers and payment confirmation soundboxes were covered with black cloths, urging customers to pay in cash.
The National Payments Corporation of India (NPCI) introduced a 0.4% MDR charge on P2M UPI payments above ₹2,000, effective from October 15, 2026. This charge will be applicable to merchants who will have to pay their banks and payment processors. Small vendor and person-to-person transactions have been exempted from the new rates.
The protests were led by the Ahilya Chamber of Commerce and Industry, with participation from various trader bodies in Indore, Bhopal, Gwalior, and Jabalpur. Traders demanded a rollback of the decision, claiming that the additional charges would impact their business costs and potentially lead to inflation. They argued that they had already contributed through taxes like GST and income tax and would have to charge more from customers, escalating the cost burden.
Akshay Jain, president of Indore’s Retail Garment Association, stated that at least 125 trade bodies across the state were participating in the symbolic protest. He emphasized the need to prevent inflation from rising and urged the government to reconsider its decision. Failure to reverse the decision could force traders to switch entirely to cash transactions after October 15.
Written by urgent.news from The Hindu's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
