Raw material cost for Cattle Feed Mfg units go up by 5% due to withdrawal of Toll Tax Exemption

New Delhi, July 22 (KNN) In Jammu, a number of items used as raw materials by the Cattle Feed Manufacturing units have been included in the negative list for toll tax exemption. As a result, the production cost for the units have gone up putting a pressure on the manufacturers in the land-locked state.

The micro, small and medium enterprises (MSMEs) from the state, concerned over the increase, held a meeting in this regard.

Bari Brahmana Industries Association (BBIA) held a meeting under the president-ship of Lalit Mahajan, to discuss the matter.

BBIA said, “A numbers of items of raw materials of Cattle Feed Manufacturing Units have been put under negative list while extending the toll tax exemption to industrial sector up to March 31, 2017.”

During the course of discussions the members of the Cattle Feed Manufacturing Units raised serious concern in respect of withdrawal of Toll Tax Exemption on the import of De-Oiled Rice Bran, De-Oiled Cakes and Rice Bran which was exempted earlier for the Industrial Units.

“Due to imposition of Toll Tax @800=00 P/Ton, the Raw Material cost increased by 5% resulting it is uneconomical for the Units to compete in the market against the Import of Cattle Feed from Outside the State by the end users,” said the manufacturers.

The MSMEs have urged the State Finance Minister Dr. Haseeb A. Drabu and Industries & Commerce Minister Chander Parkash to intervene in to the matter and issue necessary amendments of the order issued on June 29, 2016. (KNN Bureau)