Basic Customs Duty Reduced in Agriculture & Relataed Sectors

Carrying forward the initiatives taken for agriculture and agro-processing sectors, the Government proposed to reduce basic customs duty from 7.5% to 2.5% on sugarcane planter, root or tuber crop harvesting machine and rotary tiller and weeder and parts for the manufacture of these. TheUnion Finance Minister ShriPranab Mukherjee announced this while presenting the Union Budget 2012-13 in LokSabha today. He also announced to reduce basic customs duty from 7.5% to 5% on specified coffee plantation and processing machinery. The basic customs duty was also reduced on some water soluble fertilizers and liquid fertilizers, other than urea, from 7.5% to 5% and from 5% to 2.5%.

Giving substantial relief to the fertilizer sector Shri Mukherjee announced that imports of equipment for initial setting-up or substantial expansion of fertilizer projects are being fully exempted from basic customs duty of 5% for a period of three years up to March 31, 2015.

Source : Equity Bulls

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