MANNER OF EXECUTION OF SUBSIDIES​

The difference between the cost and revenue is equivalent to the subsidy for each of the products mentioned above where the cost is more than the revenue.

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1. Inbuilt Subsidy: In the inherent norms for opening of post offices, subsidies are inbuilt as post offices in hilly, tribal, desert and remote areas are opened even if they cover just 15% of their costs, in normal areas if they cover 33.33 % of cost.

2. Subsidy in Transmission of Articles: Transmission of Registered Newspapers, Periodicals & Blind Literature is made on subsidized rates. There is provision for registration of Newspapers and Periodicals under Section 9 of Indian Post Office Act, 1898 and Rules made thereunder.