SABOR'S LOWER HOUSE ENDORSES CUT IN EXCISE DUTIES ON OIL PRODUCTS

ZAGREB, Oct 4 (Hina) - Croatia's House of Representatives on Wednesday unanimously voted in favour of a cut in excise duties on petroleum products by 60 lipa (0.6 kuna) per litre. According to the adopted law, the excise duty for the super petrol (MB-98) and other leaded kinds will fall from the current 3.50 kuna per litre to 2.90, while the duty for lead-free petrol will drop from three kuna to 2.40 kuna, and diesel will have a decrease from 2.10 to 1.50 kuna per litre. Presenting the act to the Sabor, Deputy Finance Minister Damir Kustrak emphasised that the cut in excise duties implied that Croatia would in no way face a rise in inflation by the end of this year. Stressing that by the end of this year no increase should be expected in oil prices in Croatia, he added that prices of oil products were among lowest here as against other European countries. By this move Croatia has averted an oil crisis which have affected western countries owing to the sky-rocketing oil prices. Kustrak informed the lower house that the revenue in the state budget would be by 98 million kuna smaller per month, but he did not say how the Government would compensate for this loss in the budget. According to the adopted act, the so-called blue petrol for farmers and fishermen, which is sold them at a lower price than usual, will be available at petrol stations in the future. Today this House also adopted a report on the state-run commodity stockpiles. (hina) ms