A senior government official announced on Friday that fundamental customs duties and other charges will remain in effect for eight products, including apples and walnuts, originating from both the United States and other countries. Peeyush Kumar, the Additional Secretary in the Department of Commerce, explained that in response to the US's imposition of tariffs on certain steel and aluminum products, India had imposed retaliatory customs duties on 28 American products back in 2019.
Kumar further stated that as of 2023, India has chosen to withdraw only the retaliatory duties on these eight specific items, which include chickpeas, lentils, almonds, walnuts, apples, boric acid, and diagnostic reagents. Notably, the total value of imports from the US into India reached USD 1.08 billion during the 2022-23 fiscal year.
In exchange, India has secured long-term market access to the United States by securing commitments to grant approval for 70 percent and 80 percent of exclusion requests for Indian steel and aluminum products, respectively.
The cumulative volume of approvals amounts to 3.36 lakh metric tons (MT), with a total estimated value of USD 1.01 billion, as conveyed by Kumar during his press briefing.
"It's important to note that the existing basic customs duty (BCD) rates, along with any applicable surcharges, cess, Integrated Goods and Services Tax (IGST), and other relevant charges, will continue to be in effect for imports of these eight products from all countries, including the United States," he added.
Furthermore, he highlighted that Indian apples would be safeguarded against the influx of subpar quality products and predatory pricing through the implementation of a Minimum Import Price (MIP) set at Rs 50 per kilogram for imports from all countries, excluding Bhutan.
The removed retaliatory duties encompass a 10 percent tariff on chickpeas, a 20 percent tariff on lentils, a price range of Rs 7-20 per kilogram for almonds, and a 20 percent tariff on each of the following: walnuts, apples, boric acid, and diagnostic reagents.
As for the basic customs duties (BCD) on these goods, they are currently set at 60 percent for chickpeas, 30 percent for lentils, a price range of Rs 35-100 per kilogram for almonds, a hefty 100 percent for walnuts, 50 percent for apples, 7.5 percent for boric acid, and 10 percent for diagnostic reagents.
