New Delhi, July 23: Union Finance Minister Nirmala Sitharaman presented the Union Budget for the financial year 2024-2025 on Tuesday, introducing significant changes that will impact the costs of various items for both consumers and industries.
Sitharaman, while presenting the Budget 2024, announced significant reductions in customs duties on various essential items, aiming to make them more affordable for consumers.
Items That Have Become Cheaper
- Cancer Drugs: Three crucial cancer treatment drugs—Trastuzumab deruxtecan, Osimertinib, and Durvalumab—will be exempt from customs duty. This measure is expected to considerably lower their prices, making these life-saving medications more accessible to patients.
- Mobile Phones and Chargers: The customs duty on mobile phones, chargers, and other mobile parts will be reduced to 15%. This reduction is likely to decrease the market prices of mobile phones and accessories, benefiting a broad spectrum of consumers.
- Gold, Silver, and Platinum: Customs duties on imported gold and silver will be reduced by 6%, which is anticipated to boost retail demand. Additionally, the customs duty on platinum will be cut by 6.5%, further making precious metals more affordable.
- Solar Energy Parts: The government proposes not to extend customs duty on solar energy-related parts.
- Seafood: Basic customs duty on certain brood stocks, shrimps, and fish feed has been reduced to 5%.
- Footwear: The government proposes to cut customs duty on manufacturing leather and footwear.
- Ferronickel and Blister Copper: Basic customs duty on ferronickel and blister copper has been removed.
- Critical Minerals: Twenty-five critical minerals will be exempted from customs duties.
Items That Have Become Costlier
- Telecom Equipment: Basic customs duty on specified telecom equipment has been increased from 10% to 15%.
- Ammonium Nitrate: Customs duty on ammonium nitrate has been raised to 10%.
- Non-Biodegradable Plastics: Customs duty on non-biodegradable plastics has been raised to 10%.
Tax Relief for Salaried Individuals and Pensioners: For the salaried class, FM Sitharaman introduced tax sops benefiting over four crore individuals. Under the new tax regime, the standard deduction limit has been increased from Rs 50,000 to Rs 75,000. For pensioners, the deduction on family pension has been enhanced from Rs 15,000 to Rs 25,000, providing additional financial relief.
According to the Economic Survey 2024, India's GDP is projected to grow between 6.5% and 7% this year. Retail inflation has decreased to 5.4% in 2023-24, down from 6.7% the previous year. The survey, presented by Finance Minister Nirmala Sitharaman on July 22, 2024, emphasized the crucial role of service and growth in the economy.
