‘Acche din’ for Scrap consumers and importers may begin with arrival of new year 2015 as Indian government has cheered the importers with removal of import duty.
Cheerful moment for Ferrous scrap importers as the Indian government has removed the import duty of 2.5% on Scrap w.e.f 1 Jan, 2015 under Preferential Trade Agreement (PTA) with ASEAN countries (Indonesia, Thailand, Malasyia, Singapore, Vietnam and Myanmar).
Singapore, Malaysia & Thailand are emerging as Scrap suppliers to India. In FY14, India had imported about 4.5 MnT Ferrous scrap, out of which, 5-7% was imported from ASEAN countries.
A recent notification by Ministry of Finance notified revised basic Customs duty for goods imported from ASEAN countries (Indonesia, Thailand, Malaysia, Singapore, Vietnam and Myanmar). Import duty is revised in every 2 or 3 years provided, the import proves to the satisfaction of Deputy Commissioner of Customs or Assistant Commissioner of Customs.
| Chapter Heading | Product Description | Year | Remarks | ||
| 2010 | 2011 | 2015* | |||
| CH-72 | Iron & Steel, Ferro Alloys | 7.4 | 5 | 0 | Negative for Steel makers as imports of Ferro Alloys, Re-bars and Wire rods may increase |
| CH-72 (7204) | Scrap (Ferrous & SS) | 7.4 | 5 | 0 | Positive for Steel makers as import of ferrous and SS scrap will become cheap |
| CH-27 (270111) | Anthrcite Coal | 4 | 2 | 0 | Postive for Indian Power producers, Indonesia contributes about 60% of total Coal imports |
| CH-27 (270112) | Bituminous Coal | 4 | 2 | 0 | |
| CH-27 (270119) | Steam Coal | 4 | 2 | 0 | |
| CH-26 (2601-2617) | Iron ore, MnOre, Chrome Ore,Lead Ore, Moly Ore, Nickel Ore | 2 | 2 | 0 | Positive for Alloy manufacturesas imports will not attract any duty |
* With effect from 1st Jan 2015
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