Industry Body Urges New Measures to Boost Domestic Manufacturing

SEATTLE (Scrap Monster): The Indian Stainless Steel Development Association (ISSDA) has recommended various measures aimed at boosting the domestic manufacturing industry. The proposals were made in the recommendation submitted to the Ministry of Finance ahead of the upcoming Union Budget 2020.

The Association called for zero customs duty on import of key raw materials such as ferro-nickel and stainless steel scrap, whose customs duties currently stands at 2.5%. It also demanded abolition of customs duty on graphite electrodes, which happens to be the main raw material for stainless steel manufacturing. It must be noted that graphite electrode imports are currently charged duty of 7.5%. Further, it has also recommended minimum export duty of 20% on graphite electrodes.

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Simultaneously, ISSDA has suggested imposition of duty on finished stainless steel products, as a means to curb their imports into the country. Accordingly, the association has recommended imposing basic customs duty in the range from 7.5% to 10% on imported stainless steel flat products.