INDIA’S BAN ON LUXURY GOODS

Press, Volume LXXXIII, Issue 25227, 4 July 1947, Page 10

INDIA’S BAN ON LUXURY GOODS

MANY LINES AFFECTED As from July 1, the import into India of luxury goods, including motor-cars, mines, spirits, refrigerators, whisky, manufactured silk and rayon, has been banned. Limited imports will be allowed of a number of other items, including cigars and cigarettes, says the “Financial Times.”

Under this new policy, imports are linked to the amount of available foreign exchange, which is estimated at 150 crores of rupees (£112,500,000) during the next few months exclusive of any contribution from sterling balances. Food imports are expected to take up 50 crc-res worth of foreign exchange. Government stores 30 crores (£22,500,000) and miscellaneous items such as insurance, shipping charges, bank commissions, etc., 20 crores (£15,000,000) leaving 50 crores for private merchandise. Capital goods and industrial raw materials will receive priority. Coal, hides, skins, vegetable and mineral oils, rubber, raw cotton, wool, silk yarns, and machinery of all kinds are included in the free import list. All existing import licences have lapsed, but certain licences under specified conditions, including those for motor-cars, will be revalidated for a limited period, but not beyond the end of the year. The Pakistan Government is expected to have a different import policy.