Why was a customs duty hike imposed for lab chemicals
Understanding the rationale behind the imposition of a customs duty hike for lab chemicals.
- Government's revenue generation: The customs duty hike on lab chemicals is a way for the government to generate additional revenue.
- Protecting domestic industry: Increasing customs duty can protect domestic manufacturers of lab chemicals from cheap imports that may undercut their prices.
- Encouraging local production: By making imported lab chemicals more expensive, the government aims to promote local production and reduce dependency on imports.
- Control over imports: Higher customs duty can act as a deterrent for excessive imports of lab chemicals, helping to control the trade balance.
- Fostering research and innovation: The hike may incentivize research institutions and industries to develop alternatives or produce these chemicals locally, fostering innovation.
Answered
10 months ago