Handset makers pursue on import duty hike cancellation
By MYBRANDBOOK
Mobile handset manufacturers have sought rollback of increased import duties on inputs for chargers, power banks, camera modules and printed circuit board assembly (PCBA), among other items, in the upcoming budget.
The duties were hiked in the 2021-22 budget. Pankaj Mohindroo, chairman of the India Cellular & Electronics Association, said in a letter to Union Minister of State for IT, Rajeev Chandrasekhar, that raising tariffs on components makes import of the whole part cheaper than manufacturing them in the country. ICEA has complained that these tariffs “were imposed suo motu by the Department of Revenue.”
The industry has argued that incentives under the government’s flagship Production-linked Incentive (PLI) scheme conflict with the increase in custom tariffs on inputs. “The PLI scheme is aimed at decreasing the existing cost disability in India versus China and Vietnam,” the industry body said, adding that any increase in customs duties on inputs will increase this cost disability. So, it is contrary to the core policy objectives of the PLI scheme as this leads to increase in imports rather than import substitution.
In the case of chargers with the right policies, India was able to establish a charger industry with more than 60 manufacturing units producing over 600 million chargers, which were being exported as well. It said the additional duty impact after the 2021-22 budget has been 6-7% on the bill of materials of chargers.
The industry body has also sought replacement of the 20% basic customs duty currently prevalent on all handsets above Rs 20,000. Pegging the loss of revenue at Rs 2,500 crore annually due to smuggling of these phones, ICEA said “a high BCD will not encourage companies to manufacture high-end phones in India, and its removal or rationalization will not change their plans to shift manufacturing from China to India.”
BREAKING NEWS
TECHNO TRENDS
Legal Battle Over IT Act Intensifies Amid Musk’s India Plans
The outcome of the legal dispute between X Corp and the Indian government c...
Wipro inks 10-year deal with Phoenix Group's ReAssure UK worth
The agreement, executed through Wipro and its 100% subsidiary,...
Centre announces that DPDP Rules nearing Finalisation by April
The government seeks to refine the rules for robust data protection, ensuri...
Home Ministry cracks down on PoS agents in digital arrest scam
Digital arrest scams are a growing cybercrime where victims are coerced or ...
E-Magazine
TECHNOTAINMENT
Hrithik Roshan to endorse RuPay as Brand Ambassador
RuPay is reportedly planning to feature Bollywood superstar Hrithik Rosha
India Today Group launches – AI Pop Stars
Staying true to our industry leadership position in using cutting-edge tech
MOVERS & SHAKERS
TelioLabs ropes in Phaniraj V A as the Group CEO
TelioLabs has announced the onboarding of Phaniraj V A as its new Group CE
Wipro Appoints Amit Kumar as Managing Partner and Global Head
Wipro Limited (NYSE: WIT, BSE: 507685, NSE: WIPRO), a leading technology s
OPEN YOUR EYES
INTERVIEWS
In India, 88% of Indian business leaders are planning to inves
As we move through 2024, it has become increasingly clear that AI is not ju
Acer addresses evolving customer needs by consistently pushing
Acer offers a comprehensive range of products under one roof, including des
HOT PICK
MSI Announces the availability of RTX 50 series of laptops in
MSI, the innovative computing manufacturer in gaming, creator
Nothing Phone (3a) goes on sale today, starting at Rs 19,999
The phone was launched on March 4, featuring a 50MP main, ultra-wide, and t
MAKE IN INDIA BRANDS
HP INDIA SALES PVT. LTD.
TECHROUTES NETWORK PRIVATE LIMITED
WIPRO LTD.
QUICK HEAL TECHNOLOGIES PVT. LTD.
EMINENT CIO'S OF INDIA
ICONS OF INDIA
ICONS OF INDIA : SUNIL BHARTI MITTAL
Sunil Bharti Mittal is the Founder and Chairman of Bharti Enterprises,...
Icons Of India : B.V.R. Subrahmanyam
A 1987 batch (Chhattisgarh cadre) Indian Administrative Service Office...
ICONS OF INDIA : SUNIL VACHANI
Sunil Vachani is the Chairman of Dixon Technologies (India) Ltd. Under...
PARTNER SPEAKERS
PSU
LIC - Life Insurance Corporation of India
LIC is the largest state-owned life insurance company in India...
GSTN - Goods and Services Tax Network
GSTN provides shared IT infrastructure and service to both central and...
HPCL - Hindustan Petroleum Corporation Ltd.
HPCL is an integrated oil and gas company involved in refining, market...
VIDEOS
Top 25 Brands
Global Indian industry
Indian Tech Talent Excelling The Tech World - ANJALI SUD, CEO – Tubi
Anjali Sud, the former CEO of Vimeo, now leads Tubi, Fox Corporation...
Indian Tech Talent Excelling The Tech World - Vinod Dham, Founder & Executive Managing Partner, IndoUS Venture Partners
Vinod Dham, known as the “Father of the Pentium Chip,” has left an...
Indian Tech Talent Excelling The Tech World - JAY CHAUDHRY, CEO – Zscaler
Jay Chaudhry, an Indian-American technology entrepreneur, is the CEO a...
ITFORUM 2025
CMO of the Year
WOMEN LEADERSHIP
IMAGE GALLERY
TRENDS IN TECHNOLOGY
MORE VIDEOS
ADVERTISEMENTS
TECHNOLOGY DISRUPTION
UNICORNS REVOLUTIONISING
of images belongs to the respective copyright holders
