The Customs duty of
non-alloy flat steel products like HR & CR has been hiked to 10%, say sources. However, the
confirmation from Customs department is yet to come.
The Union Budget
2012-2013 had proposed to revise the Customs duty on non-alloy flat steel
products to 7.5% from the previous rate of 5%. But Industry bodies like
Assocham had expressed their views on revising it to 10% in order to check the
rising inflow of cheaper imports especially from China.
China exports a
large quantity of boron-treated hot-rolled coils, sheets and plates conforming
to alloy steel category and offers export incentive at 9 per cent of export
value. This attracts only five per cent import duty and not 7.5 per cent, as
increased in the recent Budget proposal, said Mr D.S. Rawat, Secretary-General,
Associated Chambers of Commerce and Industry of India (Assocham).
From October 2011 to
February 2012, steel imports have increased by 120% over the same period the
previous year.
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