Increasing furniture service may not hurt you
NEW DELHI: It is unlikely that most consumers feel the pinch of the increase in customs duties on furniture, as online and offline retailers said importers will be able to absorb the cost.
The government increased the customs tariff on Saturday to 25% from 20% on imported furniture and parts, support for mattresses, bedding and similar furniture. “A large part of the furniture that is currently imported is low value items, such as those made with particle board and metal. And, since they are being imported from countries with which India has a free trade agreement, the increased tariffs will not apply to those products, said a senior executive from one of India's largest online furniture retailers.
According to industry calculations, imported furniture items account for only 15-20% of all furniture sold online in India today. Most, including large wooden items, such as beds and sofas, are manufactured in the country.
“There are some components that are manufactured in China. But we can find alternatives to these in India or in countries with which we have a free trade agreement. They can be a bit expensive, but we can absorb the additional cost, ”said a category leader at the furniture retailer.