New Delhi, Feb. 2 -- The aviation sector is set to get a boost from a proposal in the budget to do away with basic customs duty on imported components that go into the making of civilian aircraft.
"I propose to exempt basic customs duty on components and parts required for the manufacture of civilian, training and other aircrafts," finance minister Nirmala Sitharaman said in her budget speech on Sunday.
Customs duty on aircraft components range from 2.5% to 15% and some already have zero duty. Experts said the duty exemption could lead manufacturers to expand and new companies to enter the space.
The Adani Group and Brazil's Embraer are in talks to manufacture commercial aircraft in India. Embraer will import aircraft components into I...
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