Customs duty on laboratory chemicals hiked from 10% to 150%, scientists express alarm
Academicians and student groups said that the tax increase would hinder research and called for protesting the move.
![Customs duty on laboratory chemicals hiked from 10% to 150%, scientists express alarm](https://sc0.blr1.cdn.digitaloceanspaces.com/article/192997-ssnanwbild-1691520131.jpg)
The Centre has hiked basic customs duty on laboratory chemicals from 10% to 150%, eliciting alarm among scientists, The Hindu reported on Wednesday. The announcement was made in Budget documents made public earlier this week.
Laboratory chemicals include imported chemicals, reagents and enzymes that are crucial to experimental research.
According to the Customs Department, laboratory chemicals include “all chemicals, organic or inorganic, whether or not chemically defined, imported in packings not exceeding 500 grams or 500 milliliters and which can be identified with reference to the purity, makings or other features to show them to be meant for use solely as laboratory chemicals”.
Following the Budget announcement, many work orders have been cancelled at university research centres across the country, The Times of India reported. Funding agencies reportedly told scientists that they had fixed budgets, and that they would not be able to absorb the tax hike on imported laboratory chemicals.
Researchers estimated that chemicals that earlier cost Rs 1 lakh would now be priced around Rs 2.5 lakh, according to The Hindu.
Academicians and student groups said on social media that the basic customs duty hike will hinder research and called for protesting the move.
Customs duties for lab chemicals have jumped from 10% to 150%. Yes, 150%.
— Democratic Research Scholars' Organisation (DRSO) (@ScholarsDRSO) July 30, 2024
Chemical of worth Rs.10K would now come with Rs.25K.
Then add GST on equipments and chemicals, that were increased from 5% to 18%.
And research funding? You must have seen the budget.
Won't we resist? pic.twitter.com/ZmfDG5BHhH
Please tell me this is a misprint So that I will delete this. Lab chemicals custom duty increased from 10% to 150%? How we do research and whether funding agencies will compensate by reducing expectations or providing more funds? @serb @DBTIndia @ICMRDELHI pic.twitter.com/jFOkCTzwip
— Santosh Chauhan (@Chauhanlab_ILS) July 29, 2024
The basic custom duties of lab chemicals increased from 10% to 150% in this budget! All the chemical prices are now almost three times of the previous one.
— Shovon Chatterjee (@ShovonChatterj1) July 31, 2024
Shame on Modi Government!
Shame on those in our Academia who are still silent! #ModiSarkar3 #NirmalaSitharaman #PMOIndia
Several scientists told The Hindu that there may have been a misprint in the Budget, or that chemicals used for research and development may be given exemptions.
Rajesh Gokhale, Secretary of the Department of Biotechnology, told the newspaper that authorities were aware of the matter and it would be resolved.