Feb. 28, 2013
Members of the Council,
Sub : Highlights of Union Budget 2013-14
As members are aware, the Union Budget 2013-14 was presented today by the Hon’ble Union Finance Minister
As far as the leather sector is concerned, the major measure announced was concerning extension of 5% concessional Basic Customs Duty Duty for certain specified machinery used in leather industry. Serial no. 390 of the Customs Notification (Tariff) No. 12/2012 dated 17th March 2012 contains the list of machinery (listed under list 29) that are eligible for 5% concessional Basic Customs Duty for import into India, as against the normal Basic Customs Duty of 7.5% applicable for machinery used in leather sector falling under tariff no. 8453. CLE had taken-up the request for amending description of certain machinery listed under aforesaid list 29 and for including new machinery in its pre-budget proposals. Accordingly, an announcement was made in the Union Budget 2013-14, that duty on specified machinery for manufacture of leather and leather goods including footwear has been reduced from 7.5% to 5%. In this context, Customs Notification No.12/2013 dated 1st March 2013 (copy enclosed) has been issued amending description of certain machinery listed under aforesaid list 29 and for including new machinery in the List.