India will ban duty-free import of flat-screen televisions from August 26

[mgdelhi]

India will ban the duty-free import of flat-screen televisions from August 26, the government said in a statement on Monday, adding to a package of measures designed to prop up the rupee by stemming the flow of foreign currency out of the country.

India targets TV imports by airline passengers as rupee plummets | Reuters

(Reuters) - India will ban the duty-free import of flat-screen televisions from August 26, the government said in a statement on Monday, adding to a package of measures designed to prop up the rupee by stemming the flow of foreign currency out of the country.

Government officials estimated that more than 1 million television sets were brought into the country last year -- many from Dubai, Thailand and Singapore -- under a scheme that allowed airline passengers to bring in screens worth up to 35,000 rupees as part of their baggage allowance. Under the new rules, passengers will have to pay a 35 percent duty and other charges, the officials said.

 

[koushik]

A person who was using his TV while he/she was living abroad have to pay duty to carry it to his homeland? Doesn't make sense really.

 

[manoj.p]

This shows the intellectual capability of the PM and FM. Interestingly, both are considered highly educated and very intelligent.

They are bringing back the 60's to 80's days of smuggled electronics and gold. How many dollars do they think will earn by banning gold and tv's?

 

[adder]

This will also likely to be the end of grey market.

 

[viper08]

We are going back again just like 70s & 80s.
Reputation of 'Imported' Sony trinitron will replace 'Imported' Bravia for models which are not released in India.

 

[adder]

To the contrary it is a tremendous boost for grey market. These steps will hugely increase smuggling.

Most of the grey market lcd are brought by passengers,while smugglers will always find a way in country like ours .But one thing for sure is that the grey market prices will definitely be more.

We are going back again just like 70s & 80s.
Reputation of 'Imported' Sony trinitron will replace 'Imported' Bravia for models which are not released in India.

These days all models are released in India,including 4k televisions.

 

[murali]

Simple arithmetic...

They say one million TV sets were imported last year, duty-free; assume each costing the full Rs35,000 allowed, i.e. about $700. So the dollar outflow was Million $700.

The Economic Times says the last year's NRI remittances to India was close to Billion $70. So the duty-free TV imports accounted for how much percentage?

The rupee has depreciated by more than 20%. But the rulers with their Harvard degrees and the babus have done their arithmetic correctly and thus are going to save the world called India.

Who are they kidding?

If only someone gets in a few percentages of all that money stacked in foreign accounts by politicians, businessmen, film stars, sportspersons, middle men and the like, back home, ......

But let us be brave and patriotic, especially those who toil to earn their wages and salaries and pay taxes regularly, and appreciate our politicians and stars, worship them, build temples for them, and always pretend to be righteous and know-all.

After all, we form the biggest hypocritical society in the world and live in a world of illusions and deceptions, still wedded to dynastical rules and caste-based bias in life.

P.S. A close friend of mine, now retired from the Air Force, used to tell me. We never train for wars listening to patriotic songs of Lata Mangeshkar and MS Subbulakshmy. All we are taught are how to survive when confronted with the enemy - kill or get killed. But we will not believe that, right, in our world of 6-steps guys bashing and singing? Of course, we have also the nostalgia of Morning in somewhere, Evening in Paris, Night in London, Love in Tokyo, etc in those days when ordinary people used to struggle to even go to Mumbai or Delhi.

I hope one day we grow up. Till then,.....

cheers.
murali

 

[Rupam]

It will definitely boost smuggling over the border (Nepal Bangladesh route). Govt is just throwing the stones in the dark, a frenzied attempt to curb inflation and rupee falling.

Genius of those economists who have thought of such a great way to stop falling rupee meanwhile they forgot to ban vegetable hording by middleman stockists. That's not important for hifi policy makers who don't care for what people eat but they do care which brand of LCD they are watching. (Hoarding pushing onion prices up)

 

[RMCWS]

Price of 1 kg onion is almost equivalent to the cost of a hindi movie dvd.

 

[alladinkachirag]

Prices:
1 kg Onion = 1 litre petrol = 1 bottle beer

In short: prices for need, comfort and luxury are all the same....

 

[koushik]

Alladinkachirag - We all use facebook.

 

[bkp149]

I'm moving back to India for good after 2 years of stay in the USA. so i am planning to take my used LED tv and willl that also be levied 35% tax? Please Can some one clarify?

Awaiting suggestions.

Thanks in advance..

 

[koushik]

@bkp149 - Is West Bengal your native place by any chance?

 

[bkp149]

No Mr.Koushik..why?

 

[koushik]

No Mr.Koushik..why?

Just because one of my dear friend is coming back from US late next month after 2 years. For a moment thought he might have registered with this forum

 

[mathan]

Nothing to do with prepping up the Rupee or anything like that. It is simply the Television lobby that has won the game now. This was always expected as almost all TV manufacturers were lobbying hard with the government to ban the duty free import. More than 1 million TV sets imported duty free would have definitely hurt their bottom-line.

 

[Nishanth]

This should have been done a long time back, the industry was also asking the government to impose duty on TV sets brought in from abroad but this government only acts when the ship starts to sink.

This new duty is not going to improve the state of the falling Rupee but this is a step in the right direction and more steps like this would help.

Nothing to do with prepping up the Rupee or anything like that. It is simply the Television lobby that has won the game now. This was always expected as almost all TV manufacturers were lobbying hard with the government to ban the duty free import. More than 1 million TV sets imported duty free would have definitely hurt their bottom-line.

TVs which were brought duty free not only hurt the manufactures, it also caused loss of revenue for governments (central+state) and it also hurt our economy in a very small way. The industry had made representations with the government with facts and revenue loss figures for them and the government, but the timing of the announcement makes me believe that this is a desperate measure taken by the government for economic reasons and not under pressure from some lobby group.

 

[BLASTO]

TVs which were brought duty free not only hurt the manufactures, it also caused loss of revenue for governments (central+state) and it also hurt our economy in a very small way. The industry had made representations with the government with facts and revenue loss figures for them and the government, but the timing of the announcement makes me believe that this is a desperate measure taken by the government for economic reasons and not under pressure from some lobby group.

Why is TV special?
Doesn't it apply to anything that is imported?

 

[CLEARCUT]

It is simple arithmetic allowing foreign investment in all sector is just like paper result. India will be flooded with dollars. One thing sure the investors are not mad in their investment. With huge expectation only they might have invested. While they are harvesting their profit local funds in multiple of their investment will drift away from our mother land. Now that is happening. So there is no wonder in this. Is their any compatible Tv manufacturer in India? No they all gone under the flood of FDI. Firstly In FDI Indian contribution should be raised. After some years it should be indigenous and all our own. Like Maruthi but what is happening here is just opposite.

 

[Santy]

Nothing to do with prepping up the Rupee or anything like that. It is simply the Television lobby that has won the game now. This was always expected as almost all TV manufacturers were lobbying hard with the government to ban the duty free import. More than 1 million TV sets imported duty free would have definitely hurt their bottom-line.

Are you sure. Because Samsung or Sony TVs sold in Dubai or Singapore are also made by Samsung or Sony; they make a profit there too and that margin may be more or less the same as it is in India. May be the television dealers lobby is involved.