Green Implications

  • 30/03/1993

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Iron ore and unpolished granite Export duty currently netting Rs. 72 crore Export duty withdrawn Pursuing export mat raise environmental cost.
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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