In the next year 2021, the smartphone industry will grow by 20 percent. (Image- Reuters)
Union Budget 2021 Expectations for Mobile Handesets: The next generation network 5G is being eagerly awaited. Apart from the campaign of Digital India, this year there is a need for a strong network amidst the circumstances arising out of the corona epidemic. Apart from this, the demand for smartphones is also increasing continuously. Due to the corona epidemic, people across the world are handling most possible work online. Now online classes are also gaining popularity fast and online people are also being given health advice. In such a situation, it is being expected from the budget that in addition to the normal smartphone, 5G handsets will also be encouraged. According to a report by telecom company Ericsson, by 2026 there will be 350 crore 5G connections worldwide and India will have 35 crore 5G users, which will be 27 percent of the total mobile users.
Financial Express Online (Hindi) started a poll among its readers in which 40 percent people believed that 5G handsets should be emphasized in the budget. In the poll, readers were asked what they expect from Finance Minister Nirmala Sitharaman in the budget 2021 regarding mobile phones. The readers believe that the government should formulate policies to promote Swadeshi.
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Emphasis on 5G handsets
The poll asked readers what to expect from the Finance Minister in the Budget 2021 regarding mobile phones and for this he was given three options; Increase in import duty, emphasis on 5G handsets and lower prices of local handsets. In this poll, 40 percent people said that 5G handsets should be emphasized in the budget. There has been a long wait for 5G network. It is expected in the budget that the government can make announcements to encourage it. A few days ago while addressing India Mobile Congress, Reliance Industries Chairman Mukesh Ambani had said that Reliance Jio will lead 5G in India and it will be launched in the second half. He said that the government should make necessary policies to start 5G soon. However, Bharti Airtel head Sunil Mittal on 5G network says that it may take two to three years to arrive.
Increase in import duty and cheap local handset
Chinese mobile dominance in the country. This year, in terms of the highest smartphone shipments, Xiaomi has more market share for two consecutive quarters, although in the third quarter Samsung beat Xiaomi in second place in terms of market share by a difference of 1 percent. According to Counterpoint Research website, according to the market share, this year Vivo was ranked third, Realme fourth and Oppo in fifth place. Among these five top five smartphones, except Samsung, the remaining four are Chinese handsets. Samsung is a South Korean company. To promote anti-China sentiment and Make in India, 33 percent have expressed hope that the government will increase import duty, and 33 percent have expressed hope that the budget mentioned a policy to keep local handset prices low. Will go.
According to Prachi Singh, Senior Analyst at Counterpoint Research, the smartphone industry will grow by 20 percent in 2021 next year. Indians hope that the government will make necessary provisions to increase the import duty and reduce the prices of local handsets to ensure the participation of Indian companies in this growth. The increase in import duty will make expensive imported handsets from abroad, due to which most people will give priority to local handsets. In March this year, the central government imposed 10% service welfare cess on imported handsets and in addition to these 20% basic customs duty is levied on these handsets. Apart from this, in March, the government increased the import duty on PCBA (printed circuit board assembly) from 10 percent to 20 percent and the import duty on chargers from 15 percent to 20 percent. In October 2020 this year, the central government decided to impose an import duty of 10 percent on the display and touch panel of the smartphone.
Source: www.financialexpress.com
