GOVERNMENT OF INDIA
MINISTRY OF FINANCE
UNSTARRED QUESTION NO: 2826
ANSWERED ON: 02.12.2016
Import Duty on Steel
NALIN KUMAR KATEEL
Will the Minister FINANCE
be pleased to state:-
(a) whether the Government has received any representation seeking imposition of higher import duty on steel imports;
(b) if so, the details thereof and the reasons therefor; andOnline GST Certification Course by TaxGuru & MSME- Click here to Join
(c) the action taken by the Government thereon?
MINISTER OF STATE IN THE MINISTRY OF FINANCE
(SHRI SANTOSH KUMAR GANGWAR)
(a) and (b): Government has received representations from the steel industry, inter alia seeking increase in import duty on steel products. On the other hand, the users industry of steel products has requested for no increase in import duty on steel products.
(c): During the last one and a half year, the Government has taken the following measures:-
(i) the basic customs duty (BCD) on ingots & billets, alloy steel (flat & long), stainless steel (long) and non-alloy long products had been increased from 5 % to 7.5% and on non-alloy and other alloy flat products from 7.5% to 10% in June, 2015. In August, 2015 the BCD on flat steel products was increased from 10% to 12.5%, long steel from 7.5% to 10% and on semi-finished steel from 7.5% to 10%;
(ii) Anti-dumping duties, at specified rates have been imposed from time to time on certain specified steel products, based on the investigations and recommendations of the Designated Authority, Directorate General of Anti-Dumping and Allied Duties;
(iii) Safeguard Duty was imposed at specified rate on hot-rolled flat products of non-alloy and other alloy steel, in coils of width of 600 mm or more in September, 2015. In November, 2016, Safeguard Duty has been imposed on hot-rolled flat sheets and plates (excluding hot rolled flat products in coil form) of alloy or non-alloy steel having nominal thickness less than or equal to 150mm and nominal width of greater than or equal to 600mm.
In view of the measures taken above and taking into concerns the views of the domestic user industry, the Government has decided not to increase the import duty further on iron and steel products for the present.