Budget 2022: FM Nirmala Sitharaman announces 20% duty hike on umbrellas

Budget 2022: Finance Minister Nirmala Sitharaman today announced a hike in duty on umbrellas to 20 per cent. The announcement was made during her Budget 2022 speech on Tuesday. Exemption to parts of umbrellas is being withdrawn, she said while delivering her budget speech which lasted for 90 minutes.

“Exemption is also being rationalised on implements and tools for agri-sector which are manufactured in India,” she said.

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Among other key announcements, Sitharaman also extended customs duty exemption given to steel scrap last year for another year. This was done to provide relief to MSME secondary steel producers.

Certain Anti- dumping and CVD on stainless steel and coated steel flat products, bars of alloy steel and high-speed steel are being revoked in larger public interest considering prevailing high prices of metals.

The FM also announced extension of Emergency Credit Line Guarantee Scheme (ECLGS) up to March 2023 and its guarantee cover will be expanded by Rs 50,000 cr to total cover of Rs 5 lakh cr, with the additional amount being earmarked exclusively for the hospitality and related enterprises.

The scheme has provided much-needed additional credit to more than 130 lakh MSMEs, the budget speech said.

“The hospitality and related services, especially those by micro and small enterprises, are yet to regain their pre-pandemic level of business,” FM said.

Credit Guarantee Trust for Micro and Small Enterprises (CGTMSE) scheme will be revamped with required infusion of funds. This will facilitate additional credit of Rs 2 lakh cr for Micro and Small Enterprises and expand employment opportunities, the FM further said. 

Raising and Accelerating MSME Performance (RAMP) programme with outlay of Rs 6,000 cr over 5 years will be rolled out. This will help the MSME sector become more resilient, competitive and efficient.

Udyam, e-Shram, NCS and ASEEM portals will be interlinked, she said adding that their scope will be widened. They will now perform as portals with live, organic databases, providing G2C, B2C and B2B services, she said.

These services will relate to credit facilitation, skilling, and recruitment with an aim to further formalise the economy and enhance entrepreneurial opportunities for all.