Sri Lanka cuts import tax on gasoline

The Sri Lankan government has reduced customs duty on gasoline imports to avoid raising retail prices, an executive with state-run Ceylon Petroleum Corp. said. The reduction will lower customs duty to Rs5 (5 US cents) a liter, from Rs15 (14 US cents) a liter. “It won’t raise our imports because demand is largely stable,” he said. Sri Lanka’s move reflects rising inflationary pressures on several Asian economies, as the benchmark crude starts trading near the US$100-a-barrel mark. (January 24, 2011)