govt hikes import duty on select communication items to up to 20 pc
The government raised import taxes on certain communications projects, including base stations, on Thursday, up to 20 cents, as part of an effort to curb the expanding current account deficit by limiting imports.
The increased tariffs will take effect from October 12, and the Central Committee on Excise and tariffs (CBIC)
Said in the notice.
This is the second round of import tariff increases announced by the government in more than two weeks.
Import tariffs also increase certain inputs used in the communications industry, such as printer circuit board components (PCBA).
In addition to mobile phones, base stations and optical transport equipment, the import tax on filling, loading or filling printed circuit boards for all goods is increased to ten per cent.
Tariffs on base stations and machines that receive, convert, transmit or regenerate voice, images or other data have also increased from ten per cent to ten per cent, includes modems, audio-frequency cables, digital loop carrier systems, and switching and routing devices other than muters.
CBIC stated that the central government was satisfied with the import tariffs on goods set out in Chapter 85 of schedule to the 1975 Tariff Act and should increase, and that there were cases where immediate action was needed.
Chapter 85 deals with motor equipment, tape recorders, television image recorders and their parts.
In September 26, the government doubled the import tax on 19 items including air conditioners, household refrigerators and washing machines (Less than 10 kg)
To 20 per cent.
Following a meeting chaired by Prime Minister Narendra Modi, the government announced on September 14 that it would impose restrictions on non-imported goods
Control the expanded CAD and check the basic items of the rupee depreciation.
Earlier on Thursday, a finance ministry official said more measures would be taken to check the CAD and hoped the rupee would appreciate.
\"The rupee, the balance of payments, the Canadian dollar are the main concerns, and we have developed a strategy to deal with the situation.
We will act in due course on these issues . \"
CAD expanded to 2.
Gross domestic product in the first quarter of 2018-19.
The rupee hit a record low of 74 rupees.
$50 to $1
Trading Day closed at 74 on Thursday. 12.
Since the beginning of 2018, the domestic currency has depreciated more.
The huge trade deficit and the depreciation of the rupee against the US dollar put pressure on CAD, and these steps may have a positive impact on the external sector.
Earlier in September 26, the basic tariffs on compressors, speakers and footwear were raised to 10 per cent, 15 per cent and 25 per cent, respectively.
The tariff on car tires increased from 10 per cent to 15% per cent, while the tariff on cutting and polishing diamonds increased from 10 per cent to 10 per cent.
Processing diamonds, diamonds grown in the laboratory, colored gems. Import duties increased from 5 cents to 7 cents. 5 per cent.