India's budget introduced a customs duty of 30% on imports of animals and birds from Monday, a move set to boost expenses for the nation's most prominent zoo, run by the family of Asia's richest man, Mukesh Ambani.

The 3,500-acre (1,400-hectare) Vantara zoo, housing about 2,000 species in the western state of Gujarat, is run by the philanthropic arm of Ambani's Reliance. None of India's many zoos, often state-run, imports animals on a similar scale.

Since 2022, a Reuters research found in September, it has imported animals such as cheetahs, rhinoceroses and scores of reptiles from countries such as South Africa, the United Arab Emirates and Venezuela.

The government gave no rationale for its decision to scrap an existing duty exemption for such imports. Vantara did not respond to Reuters queries.

"Even large, globally benchmarked zoological and conservation projects, including facilities such as Vantara, will be affected," said Rajat Mohan, a senior partner at Indian law firm AMRG & Associates.

"While the overall import volume in this segment may be limited, the impact on cost structures is significant."

Concern over international rescues

Vantara featured in pre-wedding celebrations in 2024 for the centre's leader Anant Ambani, the youngest son of Mukesh Ambani. It has been visited by Prime Minister Narendra Modi, and soccer star Lionel Messi toured it with Anant Ambani in December.

Vantara has previously told Reuters it never pays commercial consideration for any animal acquired, but incurs costs for insurance and freight as it transfers them only for rescue, conservation and rehabilitation purposes.

"While (the new tax is) designed to accelerate domestic breeding and self-sufficiency, its application imposes a significant financial burden on international rescue missions," said Delhi-based lawyer Manuj Sabharwal.

Vantara has been at the centre of contention after a U.N. wildlife trade body, CITES, found discrepancies last year in trade data and flagged insufficient checks on the origin of some animals.

However, India's Supreme Court cleared it of any wrongdoing. While Vantara says it complies with all laws, European officials have said they are keeping close watch on any exports it receives.

Vantara's shipments had a declared value of $9 million so far, the Reuters analysis found.

The value of one consignment of 26 rare parrots from Germany in 2023 was declared as $25,194 for insurance and freight purposes, with import tax of $7,500 waived in line with tax exemptions prevailing at the time.