Union Budget 2025 has unveiled a list of tariff and custom duty reforms that changed how much you spend on day-to-day products. Some get cheaper and some get costlier, which can affect your monthly spending. In this blog, we’ll uncover the list of goods and products that have become more pocket-friendly and costlier after the Union Budget 2025 announcements.
What’s Economical after the Union Budget?
Here is the list of goods that will have a lower customs duty which can lead to a reduction in input costs, strengthen exports, and support domestic manufacturing. These revised rates are applicable from February 2, 2025 and will reduce how much you spent previously on these commodities:
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- Electronic Goods: There is a reduction of 5% in basic customs duty for open cells and other components for LCD and LED.
- EVs: 35 extra items for EV battery production and 28 items for phone battery production will be added to the exempted capital goods list on customs duty.
- Leather Goods: Wet Blue Leather goods will now be fully exempted from basic customs duty which was earlier 10%.
- Chronic Disease Medicines: Now, 36 life-saving cancer-related drugs will be fully exempted from customs duty.
- Surimi: The custom duty on Frozen fish paste (surimi) used for the manufacturing of surimi analog products was reduced from 30% to 5%.
- Chemicals: Other compounds having a pyrimidine ring, Synthetic flavoring essences, and Sorbitol custom duties were also contracted.
- Waste and Scrap of Critical Minerals: The custom duty on waste and scrap of Antimony, Beryllium, lithium-ion batteries, lead and zinc, and cobalt powder was slashed to nil.
- Platinum Findings: The custom duty on platinum findings was reduced from 25% to 6.4%.
- Space Sector: Spares, goods, and consumables for satellite installation are fully exempted from duty.
- Motorcycles: Motorcycles with an engine capacity of 1600 CC, semi-knocked or completely knocked down.
- Other Products: Gold, silver, 12 critical minerals, toys, furniture, and carrier-grade ethernet switches will also be economical after the Union budget.
What’s Pricey after the Union Budget?
There are certain items that now face higher customs duty with effect from February 2, 2025.
- Flat Panel Displays: The custom duty on interactive flat panel displays is proposed to increase from 10% to 20%.
- Knitted Fabrics: Certain knitted fabrics will face higher custom duty at a 20% flat rate or 115 per kg (whichever is higher).
Conclusion
These changes in the Union Budget 2025 reflect the government’s commitment to bring more disposable income into the hands of consumers to boost spending and investment and strengthen economic growth. With more money in hand, you can also kickstart your investment journey by opening Demat Account with SMC Global Securities.
Reference:
https://www.indiabudget.gov.in/doc/budget_speech.pdf
Author: All Content is verified by SMC Global Securities.
WHY SMC
- 20 Lac+ unique clients
- 33+ Years of Serving
- Advance Technical Analysis
- Free Demat Account