Advertisement

Home / Business / Covid: Govt exempts basic customs duty on imports of test kit raw materials

Covid: Govt exempts basic customs duty on imports of test kit raw materials

In a notification dated July 12, the finance ministry said the exemption on raw materials for manufacturing Covid test kits would be till September 30
Representational image.

Our Special Correspondent   |   New Delhi   |   Published 14.07.21, 01:52 AM

The government has exempted basic customs duty on imports of specified API/ excipients for Amphotericin B and raw materials for manufacturing Covid test kits as the number of Covid-19 cases slowly increases amidst concerns of a third wave of the pandemic.

In a notification dated July 12, the finance ministry said the basic customs duty exemption on raw materials for manufacturing Covid test kits would be till September 30, 2021. The exemption on specified API (active pharmaceutical ingredients)/excipients for Amphotericin B would be valid till August 31.

Advertisement

Fear of third wave

Mahesh Jaising, partner, Deloitte India, said it was not surprising that the government has exempted the customs duty on raw materials for Covid testing kits, given the fact that a third-wave was likely to hit the country soon.

Covid test kits attract 5 per cent GST rate (till September 30) and this exemption will further reduce the cost for the manufacturers and, therefore, the general public. 



Advertisement
Advertisement
Mobile Article Page Banner
Advertisement
 
 
 
Copyright © 2020 The Telegraph. All rights reserved.