Decoded: Government begins para-tariff phase out although discrepancies with revenue forecasts remain
- Team Arutha
- Mar 4
- 1 min read
The government has begun phasing out para-tariffs. The 2026 budget announced this. The phased removal of cess will happen from 2026 to 2029. The 2026 budget expects to collect Rs 87.6 billion from import cess.
This will increase to Rs 94 billion in 2027 and Rs 100.5 billion in 2028. This shows a gap between the para-tariff phase-out plan and revenue predictions.
Para-tariffs are taxes on imports that are beyond the standard customs duty. Para-tariffs make imports like raw materials more expensive. This affects the cost of production of our exports.
Refer the news article we decoded here:
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