Basic food items review
On Friday, May 1, 1987, reported the government was reviewing duty on a range of basic consumer goods and an announcement on reducing or abolishing duty was expected by the middle of the month.
It was reported that the ministry of finance had been collecting and collating data well before the announcement was made by the minister.
Then minister of finance Mahendra Chaudhry said that it would involve a review of import and excise tax on basic commodities.
“My ministry is taking such a review at the present time and a recommendation will be made to Cabinet in due time,” he said.
When asked how soon the new measures were likely to be announced, Mr Chaudhry had said, “It depends how soon I can get the views of cabinet on the matter.”
He was expected to table his recommendations at the next meeting of cabinet.
Mr Chaudhry said the move was in line with the coalition’s election promise to look at measures of alleviating hardships among ordinary people.
“One of such measures is to review import or excise tax on basic consumer items,” he said.
The minister refused to divulge the list of items that would be subjected to a tariff review.
Both customs and excise tax, announced on wide range of consumer products by the former alliance government in its recent budgets had caused wide discontent.
Duty increases covered basic food items such as rice, dhal, flour, cooking oils, butter, margarine, frozen poultry, sausages, tinned fish, baby foods, toilet paper, soaps and detergents, toothpaste, and flip flops.
The Ministry of Finance was also intending to review items under price control.
“Any person or group is free to write to the ministry on matters of such nature where they feel prices should be regulated, stating reasons.”
“Their representation will be examined and acted upon as appropriate,” he said.
“At the same time, it must be made clear it is not a government policy to regulate business unless it is in the wider public interest,” he added.
Any person or group is free to write to the ministry on matters of such nature where they feel prices should be regulated... – Mahendra Chaudhry