Dixon Tech Soars Mobile Phone TV Components. Experts say that the reduction in customs duty will not only reduce prices but also affect manufacturing in the country.
Shares of Dixon Technologies rose 7 percent in afternoon trade after Finance Minister Nirmala Sitharaman cut tariffs on mobile phones and TV components in her 2023-24 budget.
Dixon Tech Soars Mobile Phone TV Components
The budget reduced customs duty on mobile components such as cameras and batteries and offered concessions on lithium-ion batteries. The tariff on used open-sale TVs has been reduced to 2.5%, which is likely to make TVs cheaper and increase demand.
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Market participants said the announcements are seen to benefit contract manufacturers such as Dixon Technologies. Lowering customs duty on certain mobile phone components and TV parts will help boost their manufacturing in India.
- The Economic Survey, published a day before the Budget, said that the main growth drivers of the electronics industry are mobile phones, consumer electronics and industrial electronics.
That for the next year it is looking to acquire two customer accounts in the mobile segment, which will add to Dixon Technologies’ top line. He added: “As far as guidance for next year is concerned, we clearly have strong growth across all verticals, our wearables, hearing aids, telecom, television, as we mentioned. What, could be 15% to 18% growth. Fully automatic washing machine could represent 100% growth for us as the business has just started to grow. Follow our live blog for latest budget 2023 updates.