Indian Government released their 2017-18 budget in the mid of the first quarter of the year. The new norms on tax and revenues will change the marketing situation. The Union Budget 2017 will have the following impact on cellular sector:

Mobile phones price will increase in upcoming days, as government advised to add 2% of Special Additional Duty (SAD). Till this time there were no SAD taxes were added, but this time new norms will have the hard impact on consumers.

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The SAD added, includes the tax of PCB (Printed Circuit Board), which comprises 40-50% of the manufacturer. Partner-Indirect Tax at Ernst and Young (EY) Bipin Sapra said, "We are expecting a one per cent value impact on the price of the mobile, but obviously this is not going to happen overnight. While one percent might not seem much, if you take into consideration the number of mobile phones being manufactured and sold in India, this duty will translate into a bigger cost for the company."