Hyderabad: The inter-state border checkposts set up between Telangana and Andhra Pradesh to regulate movement of vehicles and goods are leading to escalation of prices of various commodities.
Goods that are being sent from one state to the other are being taxed under inter-state trade. Dealers are being asked to bear the tax, which is ultimately being passed on to the consumers.
The bifurcation committees set up by the Governor prior to the Appointed Day had suggested that there should be free movement of goods between both states for a certain period to ensure that prices do not increase on account of taxation. However, both the cash-starved governments are keen on earning revenues through inter-state trade.
For instance, petrol and diesel will cost more in Telangana than AP as the AP government is imposing taxes while transporting it from Vizag to Telangana districts. Though this effect is not being felt now, it will show its impact from the next revision of petrol prices in Telangana, expected in July.
