Team Blitz India
NEW DELHI: The UK is especially interested in pushing India to remove its 150 per cent tariff on alcoholic beverages {made up of 50 per cent basic customs duty and 100 per cent agriculture infrastructure development cess (earmarked / hypothecated tax)}.
As per reports in the media, “consensus over Scotch whisky tariff appears elusive.” The UK, said these reports, was “seeking a sharp cut in tariff to 30 per cent over three years in the proposed deal and 75 per cent when the pact comes into effect”, whereas “New Delhi has proposed a tariff reduction to 100 per cent in the first year and then cut to 50 per cent in 10 years”.
India had also reportedly “proposed a minimum threshold of $5 per 750ml on cost, insurance, and freight (CIF) basis” for tariff cuts, continuing protection for cheaper domestic spirits.
The UK is also seeking relaxation in the rules of origin for alcoholic beverages while India insists on 40 per cent value addition norms to avail concessional tariff.
