In his Union Budget Speech, Finance Minister Arun Jaitley said "I am making a calibrated departure from the underlying policy in the last two decades, wherein the trend largely was to reduce the customs duty" as the government feels that there is a substantial potential for domestic industries in certain sectors.
There will be an increase in customs duty for 2018-19 on electronics, auto components, footwear, etc to give domestic players an edge over competitors from international markets especially China. This move will incentivise the "Make in India" mission.
Customs duty on mobile phones went up to 20% from the previous 15% and certain parts of TV and mobile accessories like USB modules, circuit boards, phone batteries and cameras will now be imposed with 15% customs duty.
Mobile phones from leading brands like Xiaomi, Samsung and Apple will now cost around 4% more. Multinational Indian companies that assemble their phones abroad will now try to shift to India. This will in turn increase employment in India.
Also Read: What Gets Cheaper Or Costlier After Budget?