January 5: The import of fuel has declined this year compared to last year. However, the revenue collection from the import of fuel has increased this year.

The revenue collection from diesel and petrol increased despite less import because the government increased the customs duty on these to products, that are the major source of government income.

According to the Birgunj Customs Office from where maximum amount of petroleum products enter the country, the import of both diesel and petrol has declined in the first eight months of the current fiscal year. The import of diesel and petrol is less this year compared to the corresponding period of last fiscal year.

But the customs duty from petroleum products has gone up despite low import compared to last year, informed Mahesh Acharya, chief of Birgunj Customs Office. He said that the revenue collection increased after the government raised customs duty on petrol and diesel.

The government has fixed a customs duty of Rs 12,000 for one kiloliter of diesel. Last year, the customs duty for the same amount of diesel was only Rs 2,000. Similarly, the government increased the customs duty on petrol from Rs 15,200 per kiloliter to Rs 25,200 per kiloliter, according to Acharya.

“The customs duty on diesel and petrol have been increased this year compared to last fiscal year. This has resulted in more revenue collection despite a decrease in volume of import,” said Acharya.

A total of 361,000 kiloliters of diesel worth Rs 15.96 billion were imported through Birgunj customs in the first five months of the current fiscal year. During the corresponding period of last fiscal year, 383,000 kiloliters of diesel worth Rs 24.68 billion were imported through the same customs point.

While the import of diesel decreased by six percent, the customs duty increased by 67 percent.

Birgunj Customs collected Rs 7.9 billion in the first eight months of last fiscal year from the import of diesel. Revenue collection from diesel during the corresponding period of the current fiscal year was Rs 11.83 billion.

The import of petrol has also declined this year to 129,000 KL from 155,000 KL last year. But the revenue collection from petrol has increased by Rs 1 billion.