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Steel ministry seeks removal of import duty

Ahead of the Union Budget 2018- 19, the steel ministry has requested the finance ministry to consider a reducing import duty on coking coal from 2.5% to NIL. This move would reduce costs for the steel industry and help to increase production. India is heavily dependent on imported coking coal, as

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Published - Jan 24, 2018 5:13 AM

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Ahead of the Union Budget 2018- 19, the steel ministry has requested the finance ministry to consider a reducing import duty on coking coal from 2.5% to NIL. This move would reduce costs for the steel industry and help to increase production. India is heavily dependent on imported coking coal, as domestic quality is unsuitable for the steel industry (due to its higher ash content). During April-September of FY18, 22.6mn tonnes of coking coal was imported. Various other steel bodies have also stated their views on how to address the issues facing the steel industry. The industry body All India Induction Furnaces Association (AIIFA) recently urged the government to remove 2.5 per cent import duty on steel melting scrap in the upcoming budget. the Indian Stainless Steel Development Association (ISSDA) has also sought the removal of customs duties on key raw materials used in producing stainless steel. ISSDA has requested that the import duty on ferro-nickel and stainless steel scrap be reduced from 2.5 % to NIL. We had stated in our union budget 2018-19 series, that the government would consider reducing import duties on raw materials like Ferro-nickel. This would benefit the industry and the economy as a whole, as India is deficit in certain raw materials.

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