Phones will get costly, import duty on display and touch panels

The smartphones and feature phones by Realme, Oppo, Samsung, Apple, Vivo and Xiaomi, will now cost more. As per report by Times of India, the government has imposed a 10% import duty on display and touch panels.

Realme display phoneThe guidance of the move is by the Aatmanirbhar Bharat campaign. This is in an effort to push manufacturing in the country. So, the actual impact of the duty is about 11% due to an additional cess.

Also, the price can go anywhere between 1.5% to 5%, as per companies.

The display and touch panels are important components in manufacturing of mobile phone and accounts.

As per reports of Times of India, the government feels that this is the right time to impose this duty. This is one of the elements earmarked in the phased-manufacturing programme (PMP) for mobile phones.

This was to come from April last year but has been delayed twice. This is because the government wants to give the component manufacturers the time to set up base in the country. For now, there are four companies making display panels in the country.

So, with the increase in the components, the phones prices will increase eventually.

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