PMC reduces octroi on fertilisers from June 5

According to the existing system, the fertilisers are supplied to different places in the district by unloading the goods at three rake points, which include Bhigwan, Saswad Road and Baramati, located close to Pune, but not falling within the PMC limits. The fertilisers are then unloaded and further transported to the respective places in the district by trucks. The quantum of chemical fertilisers, which are brought into Pune district from outside states like Gujarat, West Bengal or even from the Middle East countries like Jordan and Oman, is pegged at 1.5 to 2 lakh tonnes annually.

As per the old octroi rules, the PMC imposed three per cent octroi on fertilisers. The octroi cut, along with the changed octroi rules of the PMC, will come into force from June 5.

“We had submitted the changed set of octroi rules to the state government for approval. However, in that, we did not demand any cut in octroi on fertilisers. The government added this point on its own accord. Though the PMC will have to suffer losses of a few lakh rupees, the motive behind this reduction is to benefit the farmers,” said PMC octroi chief Kundalik Karkar.

Assistant marketing head of the city-based Rashtriya Chemicals and Fertilizers Limited (RCF) R S Kadam said, “Due to the octroi duty the fertilisers are not brought within the city limits. The other reason for not bringing it into Pune city was the easy transport from the three rake points available outside the city.”

Kadam said, “However, with the announcement by the state government could make things easier for us and we can think of having a rake-point within the city too. This will facilitate the business.”

Krishak Bharati Co-operatives Limited assistant manager, Pune, W M Bharambe said, “The new system would definitely help the trade to settle in Pune. If a rake point comes into existence at Pune station or Shivajinagar railway stations, it would be easier for us to move the goods to places like Junnar, Khed, directly from the city.”