Custom Duty Cut: Government’s big decision, mobiles and smart TVs will now become cheaper due to custom duty exemption

Electronic Custom Duty Cut: The Central Government has taken a huge and important step to make India a global hub of electronics manufacturing. The government has completely waived basic custom duty on essential spare parts used in the manufacturing of smartphones, laptops, and smart TVs. After this big decision of the government, there may be a huge decline in the prices of electronics goods in the country in the coming time. This decision will provide great relief to the general public and domestic production will also get a new impetus.

According to the new notification issued by the Finance Ministry, this huge custom duty exemption will be completely valid till March 31, 2029. This means that for the next few years, tech companies will continue to get huge tax relief for manufacturing in India. Many special machines and critical equipment used in manufacturing lithium-ion cells have also now been completely exempted from this custom duty. Apart from this, there will be no tax on the essential items used in making display assembly and inductor coil module.

PLI scheme will get a big boost

This historic decision of the government is absolutely favorable for increasing domestic electronics production in the country under the Production Linked Incentive Scheme. The biggest benefit of this huge custom duty exemption will be that the Indian tech industry’s dependence on imports from abroad will reduce to a great extent. With increased production at the local level, the country’s own electronics ecosystem will become very strong and completely self-reliant. With this, there is full hope that the country’s economy will get a new direction and strong momentum.

Make in India campaign to gain momentum

The government has been working continuously and rapidly towards making India an electronics manufacturing hub for a very long time. Huge relaxation in custom duty will go a long way in increasing local production in the country and promoting domestic value addition. This can be of great help in setting up new and bigger factories as well as attracting foreign investment very quickly. The demand for indigenous goods will increase in the Indian market and the dream of Make in India will also become more realistic.

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Direct impact on general public and prices

With this excellent decision of the government, there is great hope that the total production cost of all the big electronics companies will be reduced to a great extent. When these companies get the necessary machines and spare parts cheap, the prices of mobiles, laptops and other devices will also be affected.

However, whether the reduction in prices of these electronic goods will be immediately visible in the market or not, it will depend on the costs of the companies. Still, it is clear that customers are definitely going to get direct and huge benefits from it in the future.