Budget 2011: Bakery, Confectionery items should be exempted from central excise duty

This move will save the industry from maintenance of cumbersome records and myriad procedural formalities under the Central Excise laws.

By Agencies | Feb 08, 2011, 12.39 PM IST

NEW DELHI: Apex industry body, ASSOCHAM has recommended that Bakery and Confectionery items should be exempted from central excise duty.

This move will save the industry from maintenance of cumbersome records and myriad procedural formalities under the Central Excise laws.

The contribution for bakery and confectionery items to the exchequer is small as bakery and confectionery products comprise a relatively miniscule portion of total food & beverages sales.

Alternately, an exemption can be given based on turnover as is given to small scale units under Central excise laws - which, at present, is Rs 1.50 crore per annum.

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