Govt raises import duty on gold, hikes prices of petroleum products

The government has raised custom duty on gold from Rs 130 to Rs 470 per 10 gram in a bid to prevent smuggling of the yellow metal to India.

A cabinet meeting held on Sunday took a decision to this effect keeping in view adjusting the price of gold in neighboring Indian market. Indian government in recent budget announcement raised the price of gold, making it about Rs 500 dearer than in Nepal.

Officials said cheaper price of gold in Nepal had fuelled its smuggling to India, leaving cash-strapped Nepal spend a large amount of foreign cash reserve on gold import.

Likewise, state-owned Nepal Oil Corporation (NOC) hiked the prices of petroleum products on Sunday. The latest price was determined based on the rise of petroleum products in India.

The price has been increased by Rs. 2.50 per liter in petrol and Rs. 2 per liter in both diesel and kerosene.

Petrol will now cost Rs 80 per liter, diesel and kerosene Rs 61 per liter in the capital city Kathmandu. There will be slight differences in their price in other parts of the country depending on the cost involved for transportation.

The NOC is the sole petroleum product supplier in the country.

- Asian Tribune -