A large number of commonly used items, including refrigerators, air conditioners, LED lights and mobile phones, will become more expensive due to hike in customs duty on imported parts, as proposed by Finance Minister Nirmala Sitharaman in the Union Budget for 2021-22.
However, gold and silver will become cheaper as a result of rationalisation in customs duty on imports of these precious metals.
Here’s the list of imported items that will become costlier:
• Compressors for refrigerators and air conditioners
• LED lamps, parts and spares such as printed circuit board
• Raw silk and cotton
• Solar invertors and lanterns
• Automobile parts such as safety and toughened glasses
• Windscreen wipers, signalling equipment
• Mobile phone parts like PCBA, camera module, connectors, back cover, side keys
• Mobile phone charger components,
• Inputs or raw materials of Lithium-ion battery
• Ink cartridges and ink spray nozzle
• Finished leather products,
• Nylon Fibre and Yarn,
• Plastic builder wares,
• Cut and polished synthetic stones, including cut and polished cubic zirconia
Here’s the list of imported items that will become cheaper:
• Gold and gold dore,
• Silver and silver dore,
• Other precious metals like platinum and palladium
• Medical devices imported by international organisation and diplomatic missions.
• Agricultural equipment
• Iron and steel
• Nylon clothes and copper items
he gems and jewellery industry welcomed the government’s decision to cut import duty on precious metals, including gold and silver, in the Union Budget for 2021-22, saying the move will boost the sector and help exports to become globally competitive.
In the Budget 2021-22, Finance Minister Nirmala Sitharaman proposed rationalising customs duties on gold and silver to 7.5 per cent from the current 12.5 per cent.
The Finance Minister announced higher capital expenditure for the FY 2021-22 and focused on providing a major boost to healthcare and infrastructure building.
In her Budget speech, Sitharaman mentioned that this year’s budget focused on six pillars- Health and Wellbeing, Physical and Financial Capital, and Infrastructure, Inclusive Development for Aspirational India, Reinvigorating Human Capital, and minimum government and maximum governance.
(With inputs from agencies)