Budget 2023: Budget glimpses self-reliant India, hikes tariffs on these 35 items
Made in India : The government may make several announcements to curb imports and increase exports to further the drive for self-reliant India.
Budget 2023: Budget glimpses self-reliant India, hikes tariffs on these 35 items
Glimpses of Self-reliant India in Budget 2023: Union Finance Minister Nirmala Sitharaman will present her last full budget on 1 February 2023. In which many changes can be seen. Apart from this, people can get a glimpse of self-reliant India in this budget. Because the government can make many announcements to curb imports and increase exports to further the drive of self-reliant India. Made in India (Made in IndiaFor promotion) there may be an announcement to increase the duty on imported goods. Apart from this, concessions can also be given to encourage domestic production.
According to a report, in order to reduce imports and promote domestic production, the central government has drawn up a list of 35 items on which duties are likely to be hiked in the upcoming budget. These include items such as private jets, helicopters, high-end electronic items, plastic items, jewellery, high-gloss paper and vitamins.
An official said, a list has been prepared based on the information received from various ministries, which is currently being checked. The government has reportedly issued quality control orders to curb the import of these unnecessary items. Already domestically produced products are being considered.
The listing order was received last month
It may be noted that in December, the Ministry of Commerce and Industry asked various ministries to prepare a list of non-essential goods imported. which may be considered for tariff increase. The central government is wary of the current account deficit, which hit a nine-month high of 4.4 percent in the quarter ended September. Deloitte said in a report published last week that this performance could worsen. Apart from the risk of higher import bills, exports may also face inflationary pressures in FY24.
The objective is to strengthen the ‘Make in India’ programme
ICRA Chief Economist Aditi Nair said that with local demand outpacing export growth, the merchandise trade deficit could be $25 billion a month, which translates to CAD of 3.2-3.4 percent of GDP. The move to raise tariffs is aimed at strengthening the Centre’s ‘Make in India’ programme, which was launched in 2014. In Budget 2023 too, the Center is expected to raise import duty on many items such as imitation jewellery, umbrellas and earphones.
