Union Budget 2024: A look at what turned cheaper and costlier in last year's budget

The Centre is set to table the Union Budget for fiscal year 2024-25 in the second half of July. This will be the seventh consecutive budget to be presented by Finance Minister Nirmala Sitharaman.

Sitharaman, who became the first full-time finance minister in 2019, held the top portfolio throughout the previous tenure of the Narendra Modi-led government.

She was retained as the finance minister following the Lok Sabha polls in April-May. The 65-year-old had, in February, presented an interim budget as the government was barred from rolling out a full-year fiscal plan due to the impending general elections.

The last full-year budget was presented by Sitharaman on February 1, 2023. Here's a look at what turned cheaper and costlier following its rollout.

What turned cheaper after FY24 Union Budget?

• Sitharaman had announced that customs duty on parts of open cells of TV panels would be reduced to 2.5% from 5%. This was expected to ease the prices of television sets.
• The finance minister had also stated that the custom duty on mobile phone parts would be cut to boost domestic manufacturing. The revision was brought into effect later in the final year, as the duty was slashed to 10% from 15% in January 2024.
• While presenting the budget, Sitharaman had said that basic customs duty on seeds that are used in the manufacturing of lab-grown diamonds would be eased. Subsequently, the 5% custom duty on the same was removed by the government on February 3, 2023.
• The budget for the year also reduced customs duty on shrimp feed to 5% from 15%, in order to boost the export of shrimps.

What turned costlier after FY24 Union Budget?

• Jewellery and other items made from silver was expected to rise, as the basic custom duty on the metal's import, in the form of both -- dore and semi-manufactured -- was increased to 10%. Before the revision, the basic custom duty on dore silver stood at 6.1%, while on semi-manufactured item it was 7.5%.
• Cigarette prices increased after the rollout of budget, as the Centre imposed an additional 16% tax. The additional levy was added in the form of National Calamity Contingent Duty (NCCD).
• Kitchen electric chimney was among the household items whose prices increased following the budget, as the custom duty was hiked from 7.5% to 15%.
• The basic customs duty on compounded rubber was increased from 10% to “25% percent or ₹30/kg whichever is lower”, at par with that on natural rubber. The move was aimed preventing circumvention of duty, the government had said.

Ahead of the Union Budget 2024-25 next month, Sitharaman has been meeting industry stakeholders as part of her pre-budget consultations. The Confederation of Indian Industry (CII), a leading business lobby group representing various sectors, has requested the government to increase capex to 25% over the revised estimate of FY24 to boost consumption.