Reactions: Import duty hike on set top boxes | SupportBiz

Policy Notes

Reactions: Import duty hike on set top boxes

 
Reactions have been positive to the announcement of hike in excise duty on the import of set top boxes. Finance minister P Chidambaram, in the Union Budget 2013-14, announced an increase in the said excise duty from 5% to 10%.

Industrialists consider this a positive step, considering that it might boost production in India.

“This is an extremely positive step by the Minister, as it will force national and multinational industries to invest in this sector and increase manufacturing. We have the full capacity to meet the needs of the digitized era; however, we are utilising just 2% of our capabilities. It would definitely open up opportunities for manufacturers to grow their businesses,” said Sunil Vachani, Managing Director, Dixon Technologies.

“This is a positive step taken by the government. However, there is one constraint - there are not many manufacturers in the country manufacturing set top boxes,” said Jagi Mangat Panda, Managing Director, Ortel Communications Limited.

“I do not belong to this industry, but I feel that it is a good step, which will push local manufacturers to produce good set top boxes. There are several manufacturers of set top boxes in Noida, who are good at their jobs. This move would be beneficial for them,” said Harsh Chitale, Chief Exeuctive Officer, HCL Infosystems Limited.

Talking about the budget session, Chitale said that the changes announced were very much expected, and that there was nothing new. He stated that it would have been better if some concrete programmes had been announced. “There was nothing for the Information Technology (IT) sector in the budget,” he said, adding that it could have been better.