With the world facing a global crisis, it is no surprise that people all around the world are also facing an economic crisis, in the least. Export Import Trade has been an exception to this crisis as it is the only trade flourishing in such times.
The reason for Export Import Trade running successfully at such times is the global need for pharmaceutical goods and others. India is exporting Pharma products since the beginning of the pandemic.
When the world is facing a global crisis, the Indian government decided, this week, to waive off the import duty levied on the life-saving drug, Remdesivir. The raw material required for the manufacture of the drug was also waived off the Import Duty.
First of all, let’s begin with understanding what Import Duty mean. The definition of Import Duty can go something like this, ‘the type of levied on the import of goods and specific export of nation’s custom authorities.’
Import Duty is sometimes referred to as customs duty, import tax, import tariff or tariff. The amount of import duty levied is generally decided from the value of goods. Widely, a 29.8% Import duty is levied on the import of Pharmaceutical products in India after GST.
There are some pharma products that are exempt from import Duty levied, they are mentioned below:
- 3002: Human blood and its components
- 3006 and 4014: All types of contraceptive products
- Services provided by rehabilitation professionals for activities covered under the Rehabilitation Council of India Act, 1992.