The Karnataka Government on Friday decided to exempt VAT and CST to coaches manufactured by the state-run Bharat Earth Movers Ltd. (BEML) for the Bangalore Metro project; a sop it provided to coaches supplied to Delhi Metro.

The concession which would be in force for five years would commence from the date of delivery of the first coach, Home Minister Dr V. S. Acharya told reporters here.

A similar relief was given to BEML when it supplied coaches to Delhi Metro so that the central PSU could produce them at competitive rates, he said.

The ongoing work on the Bangalore Metro rail is expected to be completed by next year.

Keywords: BEMLVATCSTmetro