The 10-day-old nationwide strike called by Indian transporters was called off after most their demands were met by the government on Wednesday.

The government and the All India Motor Transport Congress -- the largest transporters' confederation -- entered into an agreement, which was signed between Minister of Surface Transport B C Khanduri and AIMTC president B S Dhumal.

"I am pleased to announce that the strike is over. The government has agreed to consider sympathetically nine of their demands. We regret the inconvenience caused to the public," Khanduri said after signing the agreement.

According to the agreement, with regard to the truckers' major demand of abolition of toll tax levied on four-lane national highways, the two parties have agreed that a committee comprising the representatives of both the government and the AIMTC will examine the methodology of working out the quantum of toll tax to be charged per kilometre.

The present toll rates vary from state to state.

Another major irritant was the pricing of diesel and the truckers demanded that prices should be lowered and any change be transparently regulated.

The petroleum minister assured that he would press the issue with the oil companies who determine the prices.

"I will talk to the oil companies and ask them to advance the revision of oil prices which happens fortnightly and is scheduled for April 30. Going by the international crude oil prices, the oil prices will come down," Ram Naik said.

An excited Dhumal thanked Khanduri and Naik and promised never to go on strike again.

"Since issues were ultimately resolved by talking to each other, I promise we will not go on strike again. I apologise to the public for the inconvenience caused," Dhumal said.

The transporters could barely hide their smiles as the government also agreed that trucks over 15 years old will not be scrapped because of the age factor.

"The ministry of road transport and highways has consistently held that age of a vehicle need not be the deciding factor. Prescribed emission norms, fitness and road safety related measures should decide this issue," the agreement reads.

However, the Supreme Court guidelines on scrapping of 15-year-old vehicles can still be a cause for major concern.

The demand with regard to imposition of Rs 10,000 excise duty on chassis, will be referred to the ministry of finance and both the parties have agreed to it.

The government has further assured the truckers that the guidelines of Insurance Regulatory and Development Authority shall be strictly followed by the public sector insurance companies and has agreed to investigate and punish severely those involved in any violation that the AIMTC brings to its notice.

On the issue of value-added tax, the Centre has said that VAT is not applicable to transporters as it does not apply to the services sector, which transporters are a part of.

But on the issue of fixation of minimum freight rates, the truckers could not get anything from the central government as the Motor Vehicles Act leaves that power with the states.

"We understand the Centre's position on the issue," Dhumal said.

The ministry has also agreed to tighten the screws on the state governments and Union Territories on the issue of overloading of trucks.

"Overloading of trucks is a violation of the Motor Vehicles Act and if the states/UTs do not take adequate measures to prevent this, the ministry would stop the grants made to the states under the Central Road Fund Act, 2000," the agreement reads.

On the demand that driving licenses and registration certificates should be computerised, the Centre argued that the process is on and the transporters have been satisfied.

The agreement also explains that regarding the demand to amend the Carriers Act, 1865, a proposal for amendment has already been accepted and a new draft legislation is on the anvil.

The government has further directed the state governments to release those arrested in connection with the strike.

"The strike could have ended some days sooner but some issues proved trickier. But we are completely satisfied now," Dhumal said.