Govt should consider import tariff cut on alcohol in phased manner: ICRIER

Duty cut will reduce cost of raw materials, enabling local manufacturing in India. Import duties on raw materials can be brought down to zero to support domestic manufacturing, council says

India’s high import duties on alcoholic beverages can act as a barrier in trade negotiations according to a Indian Council for Research on International Economic Relations (ICRIER) in a report released on Friday.

Therefore, the government should focus on tariff and other duty cuts in a phased manner. Besides, Indian companies should be encouraged to export to improve the trade balance.

“As India is trying to re-start its trade negotiations with key partners like the European Union and Australia, tariff reductions,” ICRIER said in its report--Developing Principles for Regulation & Pricing of Alcoholic Beverages Sector in India.

An import duty