4% exemption on handsets waived off

Government has withdrawn the exemption of 4% special additional duty on handsets manufactured in Special Economic Zones. Nokia and Samsung have started manufacturing handsets in the country while others like Motorola and Sony Ericsson are in the process of setting up a plant.

According to the Indian Cellular Association, the notification will jeopardise these plans as it would eliminate the cost difference between imported handsets and those manufactured at the SEZs.

Source: iSource