A statutory resolution has reportedly been passed in the upper House of the Parliament today imposing 200% customs duty on all the goods imported from Pakistan. It was a formalisation of the February 2019 move by the government of India to hike customs duty on all the goods imported from Pakistan after the Pulwama attack.
Today’s resolution in Rajya Sabha approved the February 2019 notification. Taking decisive measures against Pakistan after the Pulwama attack, India had also moved to cancel the most favoured nation (MFN) status granted to Pakistan for trade.
In another resolution, The BCD on the lentils was hiked by from 40% to 50%. Similarly, the BCD on boric acid will be increased from 17.5% o 27.5%n. The BCD for diagnostic items is supposed to increase from 20% to 30%.
Minister of State for Finance Anurag Thakur had moved two statutory resolutions on behalf of Finance Minister Nirmala Sitharaman. Both the resolutions were adopted by voice vote.
The first resolution sought to insert new tariff item 98060000 under chapter 98 of the First Schedule of the Customs Tariff Act, 1975 prescribing 200% customs duty on all the goods originating in or exported from Pakistan by approving a February 2019 notification.
The 200% customs duty imposition had caused a massive financial loss in Pakistan. Hundreds of trucks loaded with goods were left stranded on the Wagah border for weeks.