Budget 2025: Cancer medicines, mobile phones, leather goods to get cheaper; what will get costlier?

CHENNAI: Finance Minister Nirmala Sitharaman presented the Union Budget 2025 today, outlining key changes in customs duties that will make several items cheaper and a few others costlier.

As per the budget announcements, the following items will become cheaper:

- Mobile phones & EV battery manufacturing: 28 additional goods for mobile phone battery manufacturing and 35 additional goods for EV battery production to be added to basic customs duty exception list

- 36 lifesaving drugs and medicines for cancer & rare diseases and 37 more medicines: Exempted from basic customs duty

- Frozen Fish and Frozen Fish Paste: Frozen fish will now be taxed at five per cent, down from 30 per cent. Customs duty on fish hydrolysates is cut from 15 per cent to five per cent. Basic customs duty on frozen fish paste (surimi) will be reduced from 30 per cent to five per for the manufacture and export of its analogue products.

- Wet Blue leather: Exempted from basic customs duty; this will make leather jackets, belts and shoes cheaper

- Carrier-grade Ethernet switches: Basic customs duty on Carrier Grade Ethernet switches reduced from 20% to 10%, aligning them with non-ccarrier grade switches

- LCD/LED TVs: Customs duty on open Cells and other components reduced by 5%

- Raw materials for ship manufacturing: Basic customs duty exemption extended for another 10 years

- Marine products

- Cobalt powder and waste, lithium-ion battery scrap, lead, zinc, and 12 more critical minerals (exemption from basic customs duty)

- Synthetic flavouring essences

- Raw materials for manufacturing ships (exempt from basic customs duty for 10 more years)

- Handicrafts: 9 items to be added to duty-free inputs

Meanwhile, the following items will become costlier:

- Flat panel displays: Basic customs duty hiked from 10% to 20%

- Knitted fabrics

- Social welfare surcharge: Exemption on 82 tariff lines waived