Green Implications
| GREEN IMPLICATIONS | |||
| Though a few proposals in the 1991 budget may be termed eco-friendly, the overall trend remains hostile towards the environment | |||
| Commodity or item | Pre-Budget | New Budget | Remarks |
| Raw material and items for solar energy and wind-operated power generation | 40% import duty | 15-20% import duty | Definitely positive step towards greening. |
| Plywood pulp from rice & wheat straw From bagasse and jute | 43.5% excise | 20% excise No excise | This is a green step to save forests. |
| Forestry, horticultural machinery | 55% excise | 25% excise | Long-term eco-development expected. |
| Plant and machinery relating to environment protection and pollution control | 40% capital cost can be depreciated in the first year | 100% capital cost can be depreciated in the first year | Depends on whether industries actually operate abatement devices. |
| New industrial undertakings in backward states | No tax holiday | 5-year tax holiday beginning year of production | Experience shows mainly forestry, mining and chemical industries invest in these states. |
| Capital goods for coal mining petroleum refining powerplant projects | 40% import duty 40% import duty 40% import duty | 25% import duty 20% import duty | Expansion of these activities could arm the environment. |
| Iron ore and unpolished granite | Export duty currently netting Rs. 72 crore | Export duty withdrawn | Pursuing export mat raise environmental cost. |
| Pesticides pesticide intermediates | 110% import duty 65-110% import duty | 75% import duty 50% import duty | Ecological imbalance and degradation expected. |
| Staple fibres | Range of excise rates | Excise rates reduced | Biodiversity is likely to be disturbed in the long run. |
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