This move from Commerce Minister Piyush Goyal is aimed at reducing the country's dependence on imports and bolster domestic manufacturing
With India’s import bill touching $514 billion in FY20, a 11 percent increase from FY19, the government is looking to collect hefty duties to mitigate losses that may have been incurred from goods that slipped past the higher tariff bracket, the Business Standard reports.
Moneycontrol could not independently verify the report.
Duties hikes are expected on items such as televisions, air conditioners, set-top boxes, vehicle tyres, organic chemicals and cashews. This move from Commerce Minister Piyush Goyal is aimed at reducing the country's dependence on imports and bolster domestic manufacturing, sources told the paper.
If implemented, this would be the Centre sixth import duty hike since 2018. The Centre had imposed higher tariffs on agricultural goods imported from the US early this year.
There are fears that the moves will impact industrial demand, especially when the domestic economy is facing a slowdown, the source added.
This was also reflected in flailing import metrics, which declined over five consecutive months. From April-October, India imported $306 billion worth of goods, 8.37 percent lower than the corresponding period last year.
Inversely, higher tariffs on the import of consumer electronic goods is a long-standing demand of domestic manufacturers.New Delhi has in fact aggressively implemented the phased manufacturing programme for mobile phones, televisions and computer hardware.Are you happy with your current monthly income? Do you know you can double it without working extra hours or asking for a raise? Rahul Shah, one of the India's leading expert on wealth building, has created a strategy which makes it possible... in just a short few years. You can know his secrets in his FREE video series airing between 12th to 17th December. You can reserve your free seat here.