He attributed it to the fall in diesel prices and an expected drop in value-added tax( VAT) rates by state governments.In Delhi for instance, diesel price is down by Rs 12 including the reduction in VAT.... So the additional demand of 30-35 per cent, which came up due to the festivals, has dried up.... It can go up to 14-15 per cent by month-end, Singh said. Since states charge VAT not just on the base price but also on the excise duty the Centre levies, the incidence of price reduction is hig