| Date: |
06-07-2016 |
| Subject: |
Mines ministry mulls hiking aluminium import duty |
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RAIPUR: Mines ministry is exploring the feasibility of hiking import duty on aluminium products by 2.5%, a senior official said.
"We are looking at a proposal to raise import duty by an additional 2.5% and have asked primary aluminium producers to make a case to us," mines secretary Balvinder Kumar told PTI.
The ministry will hold a meeting with them this week to deliberate on the issue, he added.
Primary producers such as state-run Nalco, Vedanta Aluminium and Hindalco have been pursuing the case for slapping safeguard duty on aluminium, which has not found much favour with the Commerce Ministry.
Finance minister Arun Jaitley, in his Budget speech in February, had announced that Basic Customs Duty (BCD) is being increased for primary aluminium from 5% to 7.5% and that on aluminium products from 7.5% to 10%.
In February, the Parliamentary Committee on Public Enterprises had recommended the government to raise import duty on aluminium and raised "serious concerns" on "adverse impact" of cheaper imports on the profitability of state-owned Nalco.
It said that out of total aluminium consumption in India, 55% is met from aluminium scrap and 45% through aluminium, on which the import duties are 2.5% and 5% respectively, resulting in cheap imports from countries like China.
Source : timesofindia.indiatimes.com
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