New Delhi, Feb. 3 -- The exemption of import duties on components required for making open cells-a key part of LED televisions-has divided India's nearly-$10-billion TV industry. A section of manufacturers sees the budget announcement as a big boost, but others say the relief will only benefit specific companies, not the entire sector.

"The duty abolition will only benefit select brands with the technology to set up direct shops in India, instead of encouraging local brands to participate in an open manufacturing industry," Avneet Singh Marwah, chief executive at Super Plastronics, a contract manufacturer of electronics, told Mint.

"Open cell manufacturing can only be set-up in partnership with one company at a time, which is the rule t...