New Delhi, July 5: The Rs 26,000-crore consumer durables industry has sought the streamlining of tax rules and more free trade agreements.

It wants a simplified tax structure, a reduction in excise duty and the implementation of goods and services tax (GST). “The industry is struggling with differential value-added tax levied by different states. It impacts the pricing of our products and therefore, consumers and manufacturers alike,” R. Zutshi, deputy-managing director of Samsung India, told The Telegraph.

Certain sections of the industry fear GST might not be implemented as scheduled from April 2010. “To prepare a common platform for manufacturing units, the government must look for the implementation of GST as promised in the previous budget,” said Moon B. Shin, managing director of LG Electronics India.

In a presentation to government officials, industry has sought a reduction in import and production duties.

“There is a need to bring down excise duty by half to 5 per cent from 10 per cent now. This would help us to pass on the benefits to the consumers,” said Sabiha Kidwai, general manager (corporate strategy), Panasonic India.

Samsung wants the abolition of duty on LCD panels.

“In view of the fact that LCD panels are not manufactured in the country and attract a peak rate of 10 per cent customs duty, we would like the government to bring down the duty on LCD panels to zero,” Zutshi said.

The multinationals in the business are seeking free trade agreements (FTAs) with countries such as Malaysia, Japan and China.

“If the Centre announces a few more FTAs with these countries, there will be a better inflow of material and that too at lower duty, which will make us more price competitive,” Kidwai said.