Customs regime may be tweaked to boost make in India, exports

India is likely to revamp its customs duty regime, weeding out some exemptions and correcting inverted duty structures to give a boost to the government’s Make in India manufacturing initiative as well as exports. 

 

It is also considering easing of procedures for industry such as anonymous assessments and speedier clearances, while taking steps to curb evasion. 

 

 

Some of these measures could be announced in the budget for FY20 on July 5 as India looks to take advantage of companies wanting to diversify their global production and set up base in the country. 

 

There will be a review in respect of encouraging domestic manufacturing, said a government official. 

 

Policymakers are of the view that some exemptions on commodities and other items should be weeded out. 

 

 

Sectors such as telecom, metals, batteries and chemicals for electric vehicles could see changes. The government had earlier imposed and enhanced duties on smartphones and telecom equipment. It is now expected to undertake a comprehensive review that could lead to the reduction of duties on some critical inputs used in the manufacture of phones while raising it on finished products to further encourage domestic manufacture of handsets.