Govt scraps windfall tax on ATF, crude, petrol and diesel products
The move marks the end of a levy introduced in July 2022, and is set to bring relief to oil conglomerates Reliance and ONGC, as their gross refining margins may get a lift.
The move marks the end of a levy introduced in July 2022, and is set to bring relief to oil conglomerates Reliance and ONGC, as their gross refining margins may get a lift.
However, Export duty on ATF and diesel has been hiked Rs 2 on each. Earlier there was no export duty on ATF. Now it will be charged Rs 2 per litre according to new directions.
According to a rough estimate, the high crude oil price and less production of domestic crude oil price is going to increase crude oil import bill by around 20 %, and it would increase further in the fiscal year 2021-22 if the Russia-Ukraine tension continues.
Noting that India is the world’s third largest consumer of crude oil and yet import-dependent for more than 80 percent of its needs, Naidu underlined the importance of increasing production, not only to save foreign exchange but also to ensure energy security.
If the projections for average crude prices to be over $70 a barrel in FY22, the country's oil import bill could once again shoot above the $100 billion mark
On Wednesday, gold on the international futures market COMEX was trading at $1,591.35 an ounce with a gain of $17.05 or 1.08 per cent in the February contract, while gold traded up on Comex to $1,612.95 per ounce during the previous trading, which is the highest after February 2013. On February 19, 2013 the gold rose to $1,617 an ounce.
The rupee had settled at 69.65 against the US dollar Monday.
However, gains in domestic equities supported the rupee and capped its losses to some extent, they added.
Meanwhile, the United States, President Donald Trump on Sunday accused China of breaking the negotiated trade deal draft and indicated toughening of his stand against China in a series of tweets.
Forex traders said the weakening of the greenback in overseas markets coupled with sustained foreign fund inflows aided the local unit.
