Govt levies 50% export duty on molasses, extends lower import duties on edible oil till March 2025

The imposition of export duties is a common regulatory tool used by governments to manage the supply and demand dynamics of certain commodities.

The government has imposed 50 per cent duty on exports of molasses, a by-product of sugarcane used as raw material for alcohol production, with effect from January 18.

A finance ministry notification said molasses resulting from the extraction or refining of sugar will attract 50 per cent export duty.

In another notification, the finance ministry extended the existing concessional duty rates on imports of crude and refined edible oils -- palm, soyabean and sunflower -- by one year till March 31, 2025.

The basic import duty on refined soyabean oil and sunflower oil was cut to 12.5 per cent from 17.5 per cent , in June last year.

India imports palm oil mainly from Indonesia and Malaysia, and a small quantity of crude soft oil, including soyabean from Argentina. Sunflower oil is imported from Ukraine and Russia.

(With PTI inputs)