Reduce Customs duty on petro products – Parliamentary Committee
THE Parliamentary Standing Committee on Petroleum and Natural Gas has recommended reduction in customs duty on petroleum products, especially petrol and diesel, to five per cent.
The Committee noted that the duty levied on products did not actually add to Government revenues, as product imports were almost nil owing to surplus refining capacity in the country. Moreover, any differential between the customs duty on crude and the customs duty on products would increase the effective tariff protection of the refineries, the Committee said. It also recommended that the total share of taxes and duties in the retail selling prices of commonly used fuel, including auto fuels, be kept at reasonably low levels.
Oil Marketing companies have recorded losses in the first quarter.