Government exempts LPG imports from 15 per cent agri cess

Government exempts LPG imports, LPG imports exemption from 15 per cent agri cess, liquified propane,
Image Source : PTI (FILE) Gas cylinder

LPG: The government has exempted imports of LPG, liquified propane and liquified butane from 15 per cent agri cess with effect from today (September 1). The government had in July imposed a 15 per cent agri cess on imports of these goods.

The Finance Ministry in a notification said that imports of LPG, liquified propane and liquified butane have been fully exempted from Agriculture Infrastructure Development cess (AIDC) effective September 1.

Meanwhile, the bumper earnings in the first five months of the current fiscal and international benchmark coming off its highs will help state-owned oil companies absorb the Rs 200 per cylinder cut in cooking gas LPG prices, sources said indicating there may be no government compensation for that.

On Tuesday, the government announced a Rs 200 per cylinder cut in prices of domestic cooking gas to soften the impact of rising inflation on households as well as counter the promise of cheaper LPG made by the Congress party in upcoming assembly elections.

This resulted in the price of a 14.2-kg LPG cylinder in the national capital coming down to Rs 903 from Rs 1,103 earlier. For Ujjwala beneficiaries, the price will be Rs 703 after considering the continuing Rs 200 per cylinder subsidy.

State-owned Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) posted bumper earnings in the April-June quarter and the trend is continuing in thereafter, government and industry sources said.

Also, Saudi CP- the price to which domestic LPG rates are benchmarked due to high import dependence- declined from USD 732 per tonne in March 2023 to USD 385 in July. Rates have gone up in August to USD 464 per tonne but still provide enough cushion for oil companies to cut LPG prices, they said.

ALSO READ: LPG cylinder gets cheaper by Rs 200. Will the BJP get its direct benefit in the upcoming polls?

ALSO READ: OPINION | REDUCTION IN LPG PRICE: A BIG RELIEF TO COMMON MAN

Latest Business News

For all the latest Business News Click Here 

 For the latest news and updates, follow us on Google News

Read original article here

Denial of responsibility! TheDailyCheck is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected] The content will be deleted within 24 hours.