The surcharge on tea has been removed and there would no longer be excise duty on edible oils and vanaspati, government on Monday proposed in the Budget.

The surcharge at the rate of Re 1 per kg of tea has been removed, Finance Minister P Chidambaram told Parliament.

He also proposed a duty exemption for edible oils and vanaspati. The excise duty for edible oils stand at one per cent while the duty on vanaspati stands at 1.25 per cent.

As part of United Progressive Alliance's focus on boosting the agriculture and food processing industries, the finance minister said the customs duty on refrigerated vans would now attract 10 per cent duty against 20 per cent.

He also said the agricultural tractors would remain duty-free.

The import duty on cut flower has been raised to 60 per cent from 30 per cent.