Mumbai, Aug. 19 -- India Cellular & Electronics Association wants mobile phones and related components be placed in the 5% GST slab reserved for essential goods.

The current 18% GST is regressive, for the mobile phone-the primary tool of digital access for over 90 crore Indians-must be treated as necessity in the forthcoming GST reforms.

"The mobile phone is no longer aspirational. It is essential digital goods. It should rightly be taxed at 5% GST, in line with PM Modi's GST reforms agenda and his vision of a $500 billion electronics ecosystem," ICEA Chairman Pankaj Mohindroo said.

India's mobile phone sector has emerged as one of the greatest achievements of Make in India. Production has grown from Rs. 18,900 crore in FY15 to Rs. 5,4...