An inter-ministerial panel monitoring the impact of the Iran war is slated to meet next week to consider easing import curbs on critical inputs, as reported by The Economic Times. The panel will also discuss proposals to levy fresh import duties on select electronic items and parts manufactured locally, along with duty cut requests from the pharmaceutical and steel sectors — especially inputs for critical drugs.
The Economic Times reported that the Centre had in April suspended import duties on 40 petrochemical products to support downstream sectors, including plastics and pharmaceuticals, amid supply disruptions caused by the Iran war. These exemptions, announced in April for inputs used in plastics and drug manufacturing, are due to expire this month-end.
Duty Cut Extension on Petrochemical Products
The upcoming meeting will consider extending the duty suspension on the 40 petrochemical products beyond this month. The exemptions were originally granted to mitigate supply chain disruptions from the conflict. An official, as cited by The Economic Times, stated that beyond the duty cuts, the panel will also consider offering relief measures for industries impacted by higher input costs due to the war, especially crude-linked sectors.
The meeting will be attended by officials from the finance ministry, commerce and industry ministry, and representatives from key ministries. The panel's decision will be closely watched by importers in the plastics and pharmaceutical downstream industries, who rely on these critical inputs.
Fresh Import Duties on Electronics
The panel will also examine proposals to levy fresh import duties on select electronic items and parts manufactured locally. According to The Economic Times, a decision on restricting imports of electronics will depend on inputs from the Ministry of Electronics and Information Technology (MeitY) and the commerce ministry.
The context for such tariffs is the high weightage of electronic goods and components on India's import basket. The Economic Times reported that electronic goods imports totalled $116.2 billion in FY26, surpassing gold imports. This underlines the strategic importance of the sector in India's trade balance.
Pharmaceuticals and Steel Duty Relief
The panel will also review duty cut requests from the pharmaceutical and steel
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