new Delhi. Industry organization India Cellular and Electronics Association (ICEA) has reiterated its demand to cut the Goods and Services Tax (GST) for the mobile industry ahead of the Union Budget to be presented on February 1. The organization has termed the 50 percent increase in GST in March 2020 a cruel blow to the industry, with the ECEA terming the decision as flawed.
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Demand to reduce GST
ICEA President Pankaj Mohindru said in a statement that reducing GST on mobile phones from 18 per cent to 12 per cent is imperative to achieve the target of smartphone in every Indian’s hands and ensure the domestic mobile phone market of $ 80 billion.
Demand is also kept
ICEA also recommended a budget of Rs 500 crore for the establishment of various Centers of Excellence (Rs. 500 crore) for the key areas of electronics development, and a budgetary allocation of Rs 200 crore for the Mobile Design Center. Among other recommendations, the industry body also demanded an interest of 5 percent and a credit guarantee of Rs 100 crore for loans up to Rs 1,000 crore.