Budget 2021-22: Govt to review 400 exemptions in customs duty, boost local value addition
The government plans to impose import duty on mobile phone components and chargers. The move aims to boost local value addition.
Finance Minister Nirmala Sitharaman announced review of 400 exemptions in customs duty, including those applicable on the mobile devices segment. “For greater domestic value addition, we are withdrawing a few exemptions on part of chargers and sub-parts of mobiles. Further, some parts of mobile rate will move from nil to moderate 2.5 per cent,” she said.
She said the customs duty policy must have twin objectives of promoting domestic manufacturing and helping India get on to global value chain and export better. “The thrust now has to be on easy access to raw materials and exports of value addition,” Sitharaman said.