Diwali 2021 brings a big cheer to billions of Indian’s as the Government of India took a significant decision of reducing Central Excise Duty on Petrol & Diesel by Rs. 5 and Rs. 10 respectively.
This decision will provide relief to Indian consumers from soaring prices of Petrol and Diesel which have been rising over the past few months.
The reduction in excise duty on diesel will be double that of petrol. The Indian farmers have, through their hard work, helped keep the economic growth momentum, after lockdown, the country also witnessed a huge reduction in excises on diesel which will give a boost to farmers during the upcoming winter season.
In the past few months, the price of crude oil has surged globally. Consequently, petrol and diesel prices have been increasing in India in the past few weeks. This is causing inflationary pressure on prices
The Government has announced a reduction in the Excise Duty on petrol and diesel, to herald in Diwali.
The Government of India has made sure to prevent an energy shortage and increased commodity prices for items like petrol or diesel. The government does this by making efforts to use all available resources..
Driven by the enterprising nature of India’s aspirational population, the Indian economy has witnessed a remarkable turnaround post-COVID-19.
All sectors of the economy – be it manufacturing, services, or agriculture – are experiencing significant upward economic activity.
The global economy is experiencing an unprecedented period of growth. There are a number of factors contributing to this – the adoption of new technologies, the rise in consumer spending, and the reduction in poverty rates.
Reduction in excise duty on diesel will be double that of petrol and will come as a boost to the farmers during the upcoming Rabi season
These factors have allowed for economic activity to increase within all sectors – manufacturing, services and agriculture – and there is reason to believe that this trend will continue into 2019.
The reduction in excise duty on Petrol and Diesel will also boost consumption and keep inflation low, thus helping the poor and middle classes. It will also help the government’s fiscal deficit target.
Today’s decision is expected to further spur the overall economic cycle through its impact on consumers, businesses, and markets.
States are also urged to commensurately reduce VAT on Petrol and diesel to give relief to consumers.