Addressing some media reports stating Union Steel Minister, which gives an impression that Minimum Import Price (MIP) on steel will be discontinued after 04 Feb’17, Steel Ministry (Govt. of India) has sought some clarifications.
In this connection, this is to clarify that the Minister was making a point in a wider context of providing level playing field to the Indian steel industry. Chaudhary Birender Singh had emphasized that MIP is a short-term measure & not of a permanent nature. The Government is taking permanent measures to counter unfair trade practices as per international norms. A total of 124 steel products have been covered by provisional anti-dumping duties & final orders on the same are expected in due course.
As a result of the safeguards and anti-dumping measures, out of 173 items on which MIP was initially imposed, only 19 items are currently notified under MIP. These are relating to colour-coated steel, primarily to avoid any circumvention of the duties. Two of colour-coated steel items are already covered under anti-dumping duties.
It is to be noted that recently on 11 Jan’17, Indian govt. has imposed provisional anti-dumping duty on PPGI/ color coated flat steel products originating in or exported from People’s Republic of China and European Union for a period of six months. Also, investigation on anti-dumping duty on HRC/CRC are on and market participants are anticipating that the anti-dumping duty will be made permanent for five years and limit of Non-Injurious Price (NIP) will also be raised.
Indian flat steel imports fall in FY17 – Flat steel imports to India have come down sharply post imposition of trade barriers. So far in this fiscal (i.e. FY17) According to the Joint Plant Committee report, India imported 3.64 MnT flat steel in Apr-Dec’16 down 39% Y-o-Y. In the same period last year (i.e Apr-Dec’15) India’s flat steel imports stood at 6.02 MnT.
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