GUWAHATI:
The Tea Association of India (TAI), on February 2, expressed doubt regarding the government’s decision to impose additional differential excise duty of Rs 2 per litre for unblended fuel from October 1, 2022.
While it has welcomed the 2022-23 Union Budget, it fears the decision would escalate the cost of production for the tea industry.
P K Bhattacharjee, secretary-general of the Tea Association of India (TAI) said, “The emphasis on the blending of fuel would give rise to the cost of production for the tea industry.”
He further stated, “The clarification provided with relation to health and education cess to be treated as business expenditure and rationalising Tax Deducted at Source (TDS) provisions are important steps in providing clarity.”
Earlier on February 1, union finance minister, Nirmala Sitharaman while presenting the Union Budget 2022-23, had said that blending of fuel is a government priority and to encourage the efforts, unblended fuel would attract an additional differential excise of Rs 2 per litre from October 2022 onwards.
“Although it is difficult to pinpoint any tea industry-centric provisions under the Union Budget, yet some subjects impinge upon the tea industry,” Bhattacharjee said, adding that the industry is looking forward to “ease of doing business”, liberating the tea industry from multiple statutory obligations.