The budget for the fiscal year 2024-25 has proposed withdrawal subsidized import duty of air conditioner.
Consequently, the price of this luxury product is expected to rise.
Air conditioner (AC) manufacturers had been enjoying a reduced duty rate on compressor imports.
While placing the budget at parliament on Thursday Finance Minister A H Mahmood Ali said, “I recommend withdrawal of subsidy facilities on import duty of air conditioner as it is not used by low income people.
“Apart from this, at present compressors required for the production of refrigerators are produced in the country, so I recommend withdrawing compressors from the existing notification for such industrial establishments.”