Government hikes import duty on wheat to 25% from 10% currently

NEW DELHI: The government has raised basic customs duty on wheat to 25% from 10%, which will be valid until March 31, 2016.

The duty has been raised in view of the continued fall in international prices of wheat and the anticipated adverse impact of increased imports during the first half of this financial year, a finance ministry statement said on Monday.

The government has also exempted RBD Palm Stearin, Methanol and Sodium Methoxide used in the manufacture of specified biodiesel from excise duty subject to actual user condition for a period upto March 31, 2016.

Specified biodiesel is already exempt from central excise duty. But, levy of excise duty on inputs used in its manufacture led to CENVAT credit accumulation. Notifications have already been issued in this regard.