AC, Washing Machines, Refrigerators To Cost More

OB Bureau

September 27, 2018 12:22 am

New Delhi: In a bid to reduce pressure on the rupee, the govt has decided to hike the import duty on 19 items.

According to a release by the finance ministry, the customs duty hikes will be effective from midnight on Wednesday.

Import duty on air conditioners, refrigerators and washing machines under 10-kilogram capacity has been doubled to 20 percent each from 10 percent earlier. The basic customs duty on radial tyres is now 15 percent compared with 10 percent earlier, while the levy has been hiked to 25 percent from 10 percent on footwear. The government also introduced an import levy of 5 percent on the aviation turbine fuel.

Here’s the full list of items on which tariffs have been increased:

Items	Old Duty (%)	New Duty(%)
1. Air conditioners	10	20
2. Household Refrigerators	10	20
3. Washing Machines less than 10 Kg	10	20
4. Compressor for air conditioners and refrigerators	7.5	10
5. Speakers	10	15
6. Footwear	20	25
7. Radial car tyres	10	15
8. Non industrial diamond (other than rough diamonds)	5	7.5
9. Diamonds-semi processed, half cut or broken	5	7.5
10. Lab grown diamonds	5	7.5
11. Cut and polished colored gemstone	5	7.5
12. Articles of jewellery and parts thereof, of precious metal or of metal clad with precious metal	15	20
13. Articles of Goldsmith or silversmith wares and parts thereof of precious metal or of metal clad with precious metal	15	20
14. Bath, shower bath, sink, wash basin, etc. of plastics	10	15
15. Articles of plastics for conveyance and packing such as boxes, case, containers, bottles, insulated ware etc.	10	15
16. Tableware, kitchenware and other household items of plastics	10	15
17. Miscellaneous items of plastics such as office stationery, fitting for furniture’s, decorative sheets, statuettes, beads, bangles etc.	10	15
18. Trunks, Suitcase, Executive cases, Brief Cases, travel bags and other bags etc.	10	15
19. Aviation turbine fuel	0	5

The government hopes to provide a breather for the rupee. The country is facing the problem of current account deficit and fiscal deficit despite a robust GDP growth and falling inflation. The problem is further being heightened by a higher oil import bill.

OB Bureau