Union Budget 2024-25 was presented by Finance Minister Nirmala Sitharaman. It was her seventh budget presentation. This budget has made several changes that have altered the prices of many goods.
The key adjustments to finding a balance between economic growth and social welfare are in customs duty changes and taxes. Here is the list of items whose prices will change as per the new budget.
Items That Have Become Cheaper
Mobile Phones and Mobile Chargers: Basic Customs Duty on mobile phones and mobile chargers has been reduced to 15%. This move is likely to make such basic gadgets cheaper for the common man.
Gold, Silver, and Platinum: The customs duty on gold and silver has been slashed to 6 per cent, and that on platinum has been cut to 6.4 per cent. This will make precious metals and jewelry cheaper, which benefits consumers and jewellers.
Cancer Medicines: Three cancer treatment medicines—Trastuzumab Deruxtecan, Osimertinib, and Durvalumab—are now exempted from Basic Customs Duty. This could help make life-saving treatments more accessible to patients.
Solar Cells and Panels: An extended list of capital goods, equipment, and plants for the manufacture of solar panels have been exempted in the budget. This will not only aid the renewable energy sector but also reduce the cost of products in the solar energy sector.
Fish and Shrimp Feed: Basic customs duty on certain broodstock, polychaete worms, and fish feed has been reduced to 5 percent, and various inputs for the manufacture of shrimp and fish feed have been exempted. This will benefit the aquaculture industry by lowering production costs.
Down-filled Jackets and Leather Garments: For giving more edge to the exports, the Basic Customs Duty on the real down filling material from duck or goose has been reduced. It will lower the cost of down-filled jackets and other garments.
High-Ended Electronics: Customs duty on 25 critical minerals used in sectors such as nuclear energy, renewable energy, space, defense, telecommunications, and high-tech electronics are completely exempt. This is to spur the technology sector by bringing down input costs.
Oxygen-Free Copper: The Basic Customs Duty on oxygen-free copper used for making resistors has been abolished, making these electronic components cheaper.
Items That Have Become Costlier
Ammonium Nitrate: Customs duty on ammonium nitrate has been hiked to 10 percent. This may increase the price of this chemical used in fertilizers and explosives.
Non-Biodegradable Plastics: The proposal is to hike customs duty on non-biodegradable plastics to 25 percent. This will help promote the use of eco-friendly alternatives.
Telecommunication Equipment: The basic custom duty on some kinds of telecommunication equipment was increased to 15 percent from the earlier 10 percent. This is most likely to make telecom services and products more expensive.
Solar Glass: Continuation of customs duty on solar glass has not been extended. This would mean an increased cost for solar glass. It may impact the price of solar panels and other solar-based energy products.
Notified Goods: The government has proposed to levy 1 per cent TCS on notified goods whose value is more than ₹10 lakh. It will impact high-value transactions.
The Union Budget 2024-2025 brings a lot of drastic changes that will elevate the prices of many commodities. These changes are prone to structure the economic environment in the coming fiscal year, reaching consumers and industries alike.
