Govt hikes import duty on select communication items to 20 pc

The government Thursday hiked the import duty on certain communication items, including base station and digital line systems, to 20 per cent.

This is the second round of import duty hike after the government on September 26 increased import duty on 19 items, including household refrigerators and air conditioners, as it looks to cut non-essential imports to check the widening Current Account Deficit (CAD).

In a notification, the CBIC said the Central government was satisfied that the import duty leviable on goods falling under Chapter 85 of the First Schedule to the Customs Tariff Act, 1975, should be increased and that circumstances exist which render it necessary to take immediate action.

Chapter 85 deals with electrical machinery and equipment, sound recorders, television image recorders and their parts.

The duty on base station and digital line systems has been doubled to 20 per cent from 10 per cent.

The duty hikes would be effective from Friday.