Kaushik Das points out the bias in import tariffs, focussing on the automobile sector.
The import duty on foreign vehicles still attracts a 103.39 percent duty, which is unheard of in any developed country.
The steel sector currently has an import duty of 5 percent, which was 45 percent just a decade ago. Despite the reduction, Indian steel manufacturers have survived — and managed to provide excellent quality steel at globally competitive prices.
As usual, the unintended consequence is telling. Poor Indians are prevented from using cheaper and safer public transport. And Das is only looking at import duties on new vehicles. The import of second hand vehicles is banned. So, that five-year old Mercedes bus which might be more fuel efficient and less polluting than what I currently see on Indian roads is not an option at all!