Thursday, August 22, 2013: According to the industry body, Consumer Electronics and Appliances Manufacturers Association (CEAMA), government’s decision to ban duty-free import of high-end flat screen plasma TVs will not only act as catalyst for increasing demand for TV sets produced in the domestic market but, will also provide relief to consumer electronics and appliances makers.
It approves of government notification that levies 36.05 per cent duty on import of high-end plasma television. The association informed that domestic producers have made an investment of over Rs 15 billion in establishing manufacturing facilities for flat panel TVs.
Estimates by CEAMA pointed to the fact that the loss to state exchequer owing to import of TVs as hand baggage amounted to Rs 7.5 billion. Moreover, out of a total demand of almost 8 Million flat panels in India, 3 to 3.5 Million demand would have been met through free baggage allowances or concessional rate of duties under FTA. Therefore, a notification was issued by the Revenue Department to ban the import of duty free TVs as part of free baggage allowance. This will come into effect from 26th of August.
Apart from the increasing gold imports, the issue of Current Account Deficit compelled the government to raise duty on gold platinum and silver to ten per cent. In addition to it, the Finance Minister announced that action would be taken in order to curtail import of non-essential goods.
