customs: Customs duty on crude edible oils cut

0
55


NEW DELHI: On Wednesday, the government eliminated customs taxes on raw varieties of palm oil, soybeans and sunflower until March 2022 and also slashed farming on these items in a move aimed at lowering prices during the holiday season. Edible oil industry body, SEAsaid that retail prices for edible oils now could drop by Rs 10-15 per liter soon.
According to the notifications issued by the Ministry of Finance on Wednesday, the tariff cuts will be effective as of October 14 and will remain in effect until March 31, 2022. After this reduction, the effective tariff on raw varieties of olive oil palm, soybean and sunflower will be 8.2%, 5.5% and 5.5%, respectively.
In addition, the basic customs duty on refined varieties of sunflower, soybean, palmolein and palm oil has been drastically reduced to 17.5% each from the current 32.5%.
The sources said that facing a Herculean task to control rising edible oil prices forced the government to take the bullet of reducing agriculture. According to the notification, crude palm oil will now attract an agricultural infrastructure development process (AIDC) of 7.5%, while the rate will be 5% for crude soybean oil and crude sunflower oil. Previously, the tax on imported palmolein crude oil was 17.5% and 20% on crude sunflower and soybean oils.
Executive Director of Solvent Extractors Association of India BV Mehta He said: “The government has taken the right step to provide relief to consumers. We are concerned that the decision will be made at a time when farmers are harvesting soybean and peanut crops. There is a possibility that this will lower market prices and reduce price realization by farmers. ”





Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here