India Inc on Sunday called for demand and supply side incentives to boost consumer electronics manufacturing for fulfilling the 'Make in India' campaign objectives.
In a joint report on policy, the Federation of Indian Chambers of Commerce and Industry (Ficci) and global accounting firm Ernst and Young (E&Y) recommended, among other measures, providing deemed export status to consumer electronics and expanding trade agreements with countries.
"The FICCI-EY report proposes expansion of government schemes to white goods and suggests reforms on taxes such as excise (roll back from 12 percent to 10 percent), CST (central sales tax) exemption for inter-state purchase of components and customs duty reduction on certain components," the industry chamber said in a statement here.
"We have an opportunity like never before to create a strong manufacturing base. However, to make it a reality the recommendations have to be implemented fast both in letter and spirit," said Som Mittal, chairman, Ficci Electronics and White Goods Manufacturing Committee.
According to the report, the average localisation level across white goods is around 30-40 percent.
"The manufacturers face hurdles on the taxation aspects (duty structure, free trade agreements etc.), cost of capital, under-developed local supplier base, business infrastructure and ease of doing business," Ficci said.