Government to Soon Revisit Steel, Iron Ore Export Duties

SEATTLE (Scrap Monster): According to top officials, the high export duties on steel intermediates and iron ore in India may soon be reduced. It must be noted that the higher levies have badly impacted the overall mercantile exports of the country. The levies were imposed in end-May this year, in a bid to boost availability of the above materials to domestic manufacturers.

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Additionally, they noted that high duties on steel and iron ore doesn’t make sense as prices have recorded notable dip, while supplies have nearly exceeded supplies during the recent months.

The officials noted that the government is analysing the data and that the decision on reducing export duties on these items is under process, which will be announced soon. The Ministry is also considering calibrations in duties of other products as well, based on inputs from the ground.

The prices of steel and iron ore have settled down considerably in global markets. The country’s exports of steel and iron ore have reported substantial decline, partially due to high export duties. The base exports of iron and steel recorded decline by almost 21% in the initial five-month period of the current financial year. Also, iron ore exports fell sharply by 69% in April-July ’22, as compared with the previous year.