India’s budget 2023, are Cellphones, LED TV, and EVs going to be cheap?
It’s only a matter of time before mobile phones, EVs, and LED TVs all drop in price. Surely you’ve heard of this latest development. During her presentation of India’s budget 2023 on February 1st, Finance Minister Nirmala Sitharaman mentioned this. The question now is whether or not this will actually occur. And how much do you think the prices of these items will drop if that turns out to be the case? We tried to wrap our heads around it. He’ll fill you in on the details now that he knows more about India’s budget 2023.
Lithium Ion, a key component in smartphones, will reportedly no longer incur a customs duty. Battery packs used in electric vehicles, however, were exempt from import taxes. There is a significant difference between these two products, though. Where are the cars and scooters that can fit large batteries, and where is the mobile phone, which uses small batteries? As a result of this modification, there will unavoidably be a price difference. While mobile phone batteries can be purchased for several hundred to several thousand rupees, electric vehicle batteries can cost hundreds to several lakhs of rupees.
Will the price be very fair in India’s budget 2023?
Not only are they not interchangeable, but the import tax that is placed on each varies. Consider a 15% tax on EVs and a 5% tax on rechargeable batteries for mobile devices. The odds seem to have fallen in our favor, and we’ve won the lottery. The price drop brings the phone down to 47,500 rupees from the previous 50,000. That it will soon be for sale is what this means. Although the contrast between the car and scooter might appear to be smaller here, there is actually quite a wide gap between the two sets of circumstances. An eighty-five thousand rupee price tag is reasonable for a scooter with a one lakh value. However, seriously?
It’s not at all what it seems like right now. Due to this, the price of EVs will remain unchanged at the present. In reality, the government subsidy goes to the plant doing the battery installation. To put it another way, if a local manufacturer of electric vehicles (EVs) also produces batteries within the country, then the import duty on equipment used in the production of EVs will be waived. All domestic manufacturers of EVs are affected by India’s budget 2023.
This also shouldn’t be shocking to anyone. This opportunity was open for submissions under the government’s Production Linked Incentive Scheme (PLI). Ola and Reliance are just two of the many companies involved in this plan. Once these businesses start making batteries here in the country, prices are expected to drop. In case you were wondering, this won’t happen in the next day or two. Put another way, we’re talking about the big picture here. It’s possible that the price will go down in the next two to three years when production begins. Conversely, batteries imported from other countries are currently being subjected to the same restrictions as domestically produced ones in India’s budget 2023.
There is no rationale for expecting a 50% price drop in mobile devices or EVs any time soon. You might be able to get a scooter worth one lakh for ninety-five thousand dollars. You could say there are no immediate benefits, but in the long run, your wallet will thank you.
Read Also:
- The new Whatsapp self-message feature will change everything
- India’s budget 2023, are Cellphones, LED TV, and EVs going to be cheap?