Footwear stocks gain up to 10% on excise duty cut

Shares of footwear makers gained as much as 10 per cent on Thursday after the Finance Minister proposed a reduction in excise duty.

Cheering the news, shares of Relaxo Footwears surged 9.74 per cent, while Liberty Shoes climbed 8.50 per cent on the BSE.

Similarly, shares of Mirza International Ltd soared 8.35 per cent and Bata India’s stock jumped 4.50 per cent.

Excise duty on footwear reduced from 12 per cent to 6 per cent, Finance Minister Arun Jaitley said.

Excise duty is proposed to be reduced on footwear of retail price up to Rs. 1,000 per pair.

Buying was also seen in the broader market, with the BSE’s 30-share benchmark index Sensex surging 362.51 points to 25,807.32.