Mysuru: In a move that could trigger a ripple effect across goods transport, public transport and services sector, the State Government has hiked diesel price by Rs. 2 a litre, with effect from last midnight (Apr. 1).

The State Government on Tuesday issued a notification announcing an increase in Sales Tax on Diesel from 18.44 percent to 21.77 percent. This hike comes at a time when the State is already witnessing an increase in the prices of essential commodities.

With the increase in Sales Tax, the price of diesel in the State capital Bengaluru goes up to Rs. 91.02 from the present Rs. 89.02 a litre.

As far as the rest of the districts are concerned, the price will go up by 2.73 percent. In Mysuru, the price of diesel stands at Rs. 90.57 a litre, after the revision (earlier price was Rs. 88.58).

The increase in diesel price is expected to have a significant impact on the transportation, service and industrial sectors, potentially leading to higher costs in Logistics and Manufacturing.