Know how to get relief from inflation due to cheap petrol and diesel, economy will benefit?

Petrol Diesel Price Relief: Excise Duty Cut on Petrol & Diesel and the decision of many states, union territories (States & UTs) to reduce VAT (Value Added Tax) on both the fuels is the biggest benefit to the consumers and the business world. is gonna be. Where consumers were troubled by the rising inflation due to the cost of both petroleum products, then due to the cost of both fuels being expensive, the business world was in trouble.

Benefit for both consumer and industry

Due to expensive diesel, the movement of goods has become expensive, due to which consumers have to bear the brunt. At the same time, the industrialists are troubled by the rising input cost of manufacturing the goods. The Central Government has reduced the excise duty on diesel by Rs 10 and on petrol by Rs 5, then on the request of the Central Government, 22 states and union territories have also decided to reduce VAT (Value Added Tax) on petrol and diesel. Due to this, it will help in reducing the logistics cost of the companies. So the economy of the country will also benefit from this decision. In fact, the companies were equally troubled by the rising prices of commodities, diesel had also become expensive from it. But the government’s decision to reduce excise duty and VAT will help in controlling the price of every item. Due to this, inflation is also expected to come down.

Paints and FMCG companies increased prices

Recently, paints makers Asian Paints and Berger Paints have decided to increase the price of paints by 12 percent from Diwali (Diwali 2021) due to increase in cost, then FMCG ( FMCG) companies have also increased the prices of their products in recent times due to increasing cost and transportation cost. Not only this, in recent times, many other things from cement have also become expensive.

But after the diesel petrol becomes cheaper, it is believed that it will help in controlling the price, then it will benefit the consumers, which will help in increasing the demand, which will help in accelerating the economic development of the country. The reason for the rise in the stock market during Muhurta trading on Diwali was the decision to cut excise duty. The market feels that with this decision, inflation will not only decrease, the cost of companies will also decrease and profits will increase.

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