Liquor body against big duty cut in EU FTA

• The association moots a phased approach

- FE BUREAU

AS INDIA AND the European Union (EU) move closer to an agreement on trade, local alcoholic beverages makers have sought phased reduction in duties on wines and spirits rather than immediate drastic cut. They also demanded adequate safeguards to prevent misuse of the relaxations in the treaty.

In a letter to the commerce ministry, Confederation of Indian Alcoholic Beverage Companies (CIABC) has said that import duty on bottled products like wines and spirits should be over a period of 10 years. The government can offer to cut duties to 100% from 150% immediately and then bring them further down to 50% in 10 years. It has suggested similar cuts for bulk wines also.