The Indian government recently lowered import levies on significant mobile components, which could somewhat counteract the price hike.
What is the final outcome? I’m still unsure. While projections suggest a 10% to 15% rise, actual effects will vary depending on several factors.
Smartphone prices in India could increase even after import duty cut
The study suggests that the increase in memory chips and the strengthening of the Chinese Yuan, the country’s official currency, are the causes of the price increase that began in the second quarter (which runs from April to June). The survey also notes that these two variables will probably have a negative effect on smartphone prices, possibly leading to increases of 10 to 15 percent.
As a result of anticipated cost increases from two significant suppliers, Samsung and Micron, beginning in March, the price of DRAM (memory chips) has gone up, according to the Economic Times. Trendforce, a market research business, provided the observations that form the basis of this data. Over time, this will impact device prices, claims Trendforce.
This reduced the import duties on a number of essential components for the manufacturing of mobile phones from 15% to 10%. Remember that this was only an interim budget; the Union Budget as it will be presented in June following the election of a new government will be different.
In order to avoid paying more later, if you’ve been eyeing a new phone, you might want to think about buying it before June. Remember, though, that this is only a forecast based on present patterns.
