Lok Sabha Question No. 3389 (UNSTARRED), answered on 2021-03-16
Subject: Agri Infra Cess
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: V. Kalanidhi

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE

## DEPARTMENT OF AGRICULTURE, COOPERATION AND FARMERS WELFARE

## LOK SABHA UNSTARRED QUESTION NO. 3389

TO BE ANSWERED ON THE 16 TH  MARCH, 2021

## AGRI INFRA CESS

## 3389 . DR. KALANIDHI VEERASWAMY:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ ष एवं कसान कयाण मंी be pleased to state:

- (a) Whether the Government has imposed Agri Infra Cess within the country;
- (b) If so, the reasons therefor;
- (c) The details of the number of items on which this cess will be imposed; and
- (d) Whether  the  Government  is  aware  that  this  cess  will  put  an  extra  burden  to  the common people at a time when they are facing massive job loss, unemployment and poverty within the country?

## ANSWER

MINISTER OF AGRICULTURE AND FARMERS WELFARE

कृ ष एवं कसान कयाण मंी (SHRI NARENDRA SINGH TOMAR)

- (a)  &  (b):    Agriculture  Infrastructure  and Development Cess (AIDC) has been imposed vide Finance bill 2021-22 and came into effect immediately from 02.02.2021 under the provisions of  the  Provisional  Collection  of  Taxes  Act,  1931.  This  has  been  done  for  the  purposes  of financing the agriculture infrastructure and other development expenditure.
- (c):   Agriculture Infrastructure and Development Cess (AIDC) is an additional duty of excise has been imposed on Petrol and Diesel and as duty of customs on specified imported goods as enclosed in annexure .
- (d):      Ministry  of  Finance  has informed that  the imposition  of  AIDC  on  specified items,  the Basic  Custom  Duty  (BCD),  Basic  Excise  Duty  (BED)  and  Special  Additional  Excise  Duty (SAED) rates on such items, as the case may be, have been simultaneously lowered so as to not put additional burden on consumers on most items.

## AIDC as duty of Customs:

|   S. No. | Heading, sub- heading tariff item   | Commodity                                                                                                                                         | Basic customs duty   | AIDC   |
|----------|-------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------|----------------------|--------|
|        1 | 0808 10 00                          | Apples                                                                                                                                            | 15% / 35%*           | 35%    |
|        2 | 1511 10 00                          | Crude Palm Oil                                                                                                                                    | 15%                  | 17.5%  |
|        3 | 1507 10 00                          | Crude Soya-bean oil                                                                                                                               | 15%                  | 20%    |
|        4 | 1512 11 10                          | Crude Sunflower seed oil                                                                                                                          | 15%                  | 20%    |
|        5 | 0713 10                             | Peas (Pisumsativum)                                                                                                                               | 10%                  | 40%    |
|        6 | 0713 20 10                          | Kabuli Chana                                                                                                                                      | 10%                  | 30%    |
|        7 | 0713 20 20                          | Bengal Gram (desichana)                                                                                                                           | 10%                  | 50%    |
|        8 | 0713 20 90                          | Chick Peas (garbanzos)                                                                                                                            | 10%                  | 50%    |
|        9 | 0713 40 00                          | Lentils (Mosur)                                                                                                                                   | 10% / 30%*           | 20%    |
|       10 | 2204                                | All goods (Wine)                                                                                                                                  | 50%                  | 100%   |
|       11 | 2205                                | Vermouth and other wine of fresh grapes, flavoured                                                                                                | 50%                  | 100%   |
|       12 | 2206                                | Other fermented beverages for example, Cider, Perry, Mead, sake, mixture of fermented beverages or fermented beverages and nonalcoholic beverages | 50%                  | 100%   |
|       13 | 2208                                | All goods (Brandy, Bourbon whiskey, Scotch etc.)                                                                                                  | 50%                  | 100%   |
|       14 | 2701                                | Various types of coal                                                                                                                             | 1%                   | 1.5%   |
|       15 | 2702                                | Lignite, whether or not agglomerated                                                                                                              | 1%                   | 1.5%   |
|       16 | 2703                                | Peat, whether or not agglomerated                                                                                                                 | 1%                   | 1.5%   |
|       17 | 3102 10 00                          | Urea                                                                                                                                              | Nil                  | 5%     |
|       18 | 3102 30 00                          | Ammonium nitrate                                                                                                                                  | 2.5%                 | 5%     |
|       19 | 31                                  | Muriate of potash, for use as manure or for the production of complex fertilisers                                                                 | Nil                  | 5%     |

|   20. |   3105 30 00 | Diammonium phosphate, for use as manure or for the production of complex fertilisers   | Nil   | 5%   |
|-------|--------------|----------------------------------------------------------------------------------------|-------|------|
|    21 |         5201 | Cotton (not carded or combed)                                                          | 5%    | 5%   |
|    22 |         7106 | Silver (including imports by eligible passengers)                                      | 7.5%  | 2.5% |
|    23 |         7106 | Silver Dore                                                                            | 6.1%  | 2.5% |
|    24 |         7108 | Gold (including imports by eligible passengers)                                        | 7.5%  | 2.5% |
|    25 |         7108 | Gold Dore                                                                              | 6.9%  | 2.5% |

* All goods originating in or exported from the United States of America.

## AIDC as additional duty of excise

| Commodity          | Duty rates applicable with effect from 02.02.2021 (Rs. per litre)   | Duty rates applicable with effect from 02.02.2021 (Rs. per litre)   | Duty rates applicable with effect from 02.02.2021 (Rs. per litre)   | Duty rates applicable with effect from 02.02.2021 (Rs. per litre)   | Duty rates applicable with effect from 02.02.2021 (Rs. per litre)   |
|--------------------|---------------------------------------------------------------------|---------------------------------------------------------------------|---------------------------------------------------------------------|---------------------------------------------------------------------|---------------------------------------------------------------------|
|                    | BED                                                                 | SAED                                                                | RIC                                                                 | AIDC                                                                | Total                                                               |
| Petrol (unbranded) | 1.40                                                                | 11                                                                  | 18                                                                  | 2.5                                                                 | 32.90                                                               |
| Petrol (branded)   | 2.60                                                                | 11                                                                  | 18                                                                  | 2.5                                                                 | 34.10                                                               |
| Diesel (unbranded) | 1.80                                                                | 8                                                                   | 18                                                                  | 4.0                                                                 | 31.80                                                               |
| Diesel (branded)   | 4.20                                                                | 8                                                                   | 18                                                                  | 4.0                                                                 | 34.20                                                               |

BED:  Basic  Excise  Duty;  SAED:  Special  Additional  Excise  Duty;  RIC:  Road  and Infrastructure Cess; AIDC: Agriculture Infrastructure and Development Cess.

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