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Giving a boost to local manufacturing India Import duty may increase in upcoming budget especially those used in products that are exported, while keeping levies high on finished goods a structure that would encourage domestic value addition.
“Many finished goods come at low duty, which especially can be raised to encourage Make in India,” said an official.This lower duty on inputs is in line with India’s decision to increase tariffs and restrict imports of tyres, ACs and TV sets, among others. Such an import regime is expected to encourage domestic production.India has also launched production-linked incentive (PLI) schemes for many items such as ACs, LEDs, enterprise equipment, switches and routers.
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