The government on Wednesday scrapped basic customs duty as well as slashed agri cess on crude varieties of palm, soyabean and sunflower oil till March 2022, a move which will help cool prices and increase domestic availability in the festive season.
The duty cuts will be effective from October 14 and will remain in force till March 31, 2022, the Central Board of Indirect Taxes and Customs (CBIC) said in a notification.
Crude palm oil will now attract agri infrastructure development cess (AIDC) of 7.5 per cent, while the rate will be 5 per cent for crude soyabean oil and crude sunflower oil.
Post reduction, the effective customs duty on crude varieties of palm, soyabean and sunflower oil will be 8.25 per cent, 5.5 per cent and 5.5 per cent respectively.
Besides, the basic customs duty on refined varieties of sunflower, soyabean, palmolein and palm oil has been slashed to 17.5 per cent each from 32.5 per cent at present.
“The government has slashed import duties on edible oils because of high retail prices in the domestic market and the festive season,” Solvent Extractors’ Association of India Executive Director B V Mehta said.
Source:financialexpress.com