Union Minister Ashwini Vaishnaw
| Photo Credit: The HIndu

The basic customs duty of 2.5% imposed on certain smartphone components has been scrapped, following a glide path recommended by the electronics manufacturing industry last year. Mobile phones are fast emerging as India’s top export commodity, reaching $15.6 billion last year. Slabs for components had been “rationalised”, IT Minister Ashwini Vaishnaw told presspersons after the Budget presentation.

“The rationalisation of tariffs on key inputs and components creates a more competitive cost structure and encourages deeper integration with global value chains,” said Pankaj Mohindroo, Chairman of the India Cellular and Electronics Association (ICEA), which represents electronics manufacturing and assembly firms. 

‘Nuisance duties’

The customs duties on components such as printed circuit board assemblies (PCBAs), camera modules, connectors, wired headsets, microphones, USB cables, fingerprint scanners were “nuisance duties”, Mr. Mohindroo had complained last year, adding that they did not contribute significantly to promote domestic manufacturing. Reduction in tariffs for key minerals was also welcome, Mr. Mohindroo said.

“Tariff protection was required in the infancy of manufacturing but now the tariffs are no longer valid in the mobile phones case,” the ICEA said. “The industry has reached a gigantic scale of ₹60 billion in annual production.”

Additionally, Mr. Mohindroo welcomed the changes in the income tax regime, saying that having zero income tax up to ₹12 lakh in annual income would boost demand for electronics. 

New Delhi:

Finance Minister Nirmala Sitharaman today announced a major reduction in customs duty on cancer medicines and mobile phones, which will significantly bring down their prices in the retail market. Imported gold, silver, leather goods and seafood will also get cheaper.

“The government will exempt 3 more cancer treatment drugs from Customs duty. I will also reduce basic customs duty on mobile phones, chargers and other mobile parts,” Ms Sitharaman said while presenting Budget 2024 in the parliament.

Ms Sitharaman slashes import duties on gold and silver to 6%, a move that industry officials say could boost retail demand and help in curtailing smuggling in the world’s second-biggest bullion consumer.

Higher demand for gold from India could support global prices, which hit a record high earlier this year, although that could increase India’s trade deficit and weigh on the ailing rupee.

On the other hand, the government will raise customs duty on ammonium nitrate by 10% and by 25% on non-biodegradable plastics. 

This is the first budget of the Modi 3.0 government and is expected to have a significant impact on India’s economic landscape, touching upon various sectors from infrastructure development to social welfare programs.

Prime Minister Narendra Modi yesterday had said that the Finance Minister will present a strong budget, adding that he will ensure that the government’s guarantees reach the common man. Nirmala Sitharaman yesterday – on the first day of the Monsoon Session of Parliament – tabled the Economic Survey in Parliament.

New Delhi:

The Centre on Friday directed telecom operators to block for blocking 28,200 mobile handsets and issued directions to re-verify 20 lakh mobile connections associated with these handsets.

Ministry of Communications in a statement today announced the collaboration of the Department of Telecommunications (DoT), Ministry of Home Affairs (MHA) and State Police to curb the misuse of telecom resources in cyber-crime and financial frauds.

This collaborative effort aims to dismantle networks of fraudsters and protect citizens from digital threats.

An analysis carried out by MHA and State Police has revealed that 28,200 mobile handsets were misused in cybercrimes. The DoT further analysed and found that a staggering 20 lakh numbers were used with these mobile handsets.

Subsequently, DoT issued directions to telecom service providers for pan India blocking of 28,200 mobile handsets and to carry out immediate re-verifications of 20 lakh mobile connections linked to these handsets. DoT also directed telecommunication companies to disconnect after failing re-verification.

The Ministry of Communications, in a press release, conveyed that, “The unified approach demonstrates a shared commitment towards public safety and to safeguard the integrity of telecommunications infrastructure and ensure a secure digital environment.”

The Department of Telecommunications (DoT) has taken such steps in the case of cybercrime. On Tuesday, DoT disconnected a phone number used in a financial scam, as well as blocked 20 mobile handsets associated with the number, an official statement said.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)