You are here: Home » Economy & Policy » News
Business Standard

Govt hikes customs duty on wheat to 40% to curb imports, protect industry

The government wants to restrict overseas purchase so that domestic prices of wheat do not come under pressure as the country's wheat output is expected to scale a record high this year.

Press Trust of India  |  New Delhi 

Wheat
The country's wheat production this season might cross 100 million tonnes, an all-time high.

The government has hiked the on to 40 per cent from 30 per cent to curb imports and protect the domestic industry.

The government wants to restrict overseas purchase so that domestic prices of do not come under pressure as the country's output is expected to scale a record high this year.

The and Customs (CBIC), through a notification, has hiked the basic (BCD) on wheat to 40 per cent.

In May last year, the government had hiked BCD on wheat to 30 per cent from 20 per cent.

The government has fixed wheat's minimum support price (MSP) or the price at which it buys from farmers, at Rs 1,840 per quintal, up from Rs 1,735 a year earlier, as part of its decision to fix the support price at a minimum of 1.5 times the production cost.

The country's wheat production this season might cross 100 million tonnes, an all-time high. The output stood at record 99.70 million tonnes in the 2017-18 crop year (July-June).

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Sun, April 28 2019. 14:00 IST
RECOMMENDED FOR YOU