With reference to 'Central excise duty', which of the following statements is/are correct? 1. Commodities on which state governments impose excise duties are exempted from the central excise duty 2. In recent years large number of goods has come under excise duty. Moreover, the rates of these duties have also been increasing 3. Commodities which are produced within the country levied by central excise duty

• A. 1 only              
• B.        1 and 2
• C. 3 only              
• D.        1, 2 and 3