Updated: Mon, 01 Feb 2021 03:48 PM IST
New Delhi | Jagran Business Desk: Amid raging farmers' protest on the outskirts of Delhi, the central government on Monday introduced an agriculture infra cess on fuel. With this, the price of petrol will increase by Rs 2.5 per litre while diesel will get costlier by Rs 4 per litre.
The announcement was made by Finance Minister Nirmala Sitharaman on Monday while presenting the Union Budget 2021. However, Sitharaman, who presented the eighth Budget of PM Modi-led NDA government, said that it will not impact the final consumers as the central government has decided to reduce the Basic Customs Duty on fuel.
"Consequent to imposition of Agriculture Infrastructure and Development Cess (AIDC) on petrol and diesel, Basic excise duty (BED) and Special Additional Excise Duty (SAED) rates have been reduced on them so that overall consumer does not bear any additional burden," Sitharaman said while presenting the Union Budget 2021.
"Consequently, unbranded petrol and diesel will attract basic excise duty of Rs 1.4, and Rs 1.8 per litre respectively. The SAED on unbranded petrol and diesel shall be Rs 11 and Rs 8 per litre respectively. Similar changes have also been made for branded petrol and diesel," she added.
Notably, the Centre on Monday also imposed the agricultural cess on several other goods, including alcohol (100 per cent), gold and silver bars (2.5 per cent), crude palm oil (17.5 per cent), crude soyabean (20 per cent), apples (35 per cent) and peas (40 per cent).
Meanwhile, fuel prices have been rising in India over the last few days, reaching an all-time high. On Monday, one litre of petrol was priced at 86 per litre in Delhi while it was Rs 93 per litre in Mumbai. Similarly, one litre of diesel was priced at Rs 76 per litre in Delhi while it was Rs 83 per litre in Mumbai.