Petrol dealers in Maharashtra are unhappy with the budget announcement of hiking petrol and diesel prices, the Federation of All Maharashtra Petrol Dealers Association (FAMPEDA), said.
"Now the dealers have to invest more for their inventories. This additional investment coupled with evaporation losses will be a burden on dealers," FAMPEDA secretary, Uday Lodh told PTI here today.
Union finance minister Pranab Mukherjee, today hiked customs duty on crude oil to 5%. He also hiked duty on petrol and diesel to 7.5% from 2.5% while excise duty was raised by Re1 per litre to Rs14.35 and Rs4.60 per litre on non-branded petrol and diesel.
This would result in petrol prices going up by Rs2.67 a litre and diesel by Rs2.58 per litre from midnight tonight.
Despite the hike in prices, the dealers will not get any increase in commission. "Only the price of the fuel isincreasing, not our commission. The price hike will burden the common people who is already fedup with escalating food prices," FAMPEDA core committee member Girish Kamdar, said.
Both the leaders alleged that the government of Maharashtra is planning to increase the Value Added Tax (VAT) by 1% hich will see heavy resistance from the federation.
"If the state government further increases VAT by 1%, outlets in border areas and highways will see a sharp decrease in business as transporters will depend upon neighbouring states for fuel," Lodh said.
"Our Federation will then call for a state-wide strike," he said.
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