Last Update: January 19, 2023, 19:24 IST
Finance Minister Nirmala Sitharaman (file photo)
Currently, more than 60 per cent of India’s aluminum demand is being met through imports.
Industry body FICCI has sought hike in import duty on aluminum and aluminum products to at least 12.5 per cent in the upcoming Budget 2023-24, saying the move will help curb dumping of aluminum products and increase domestic production. The development of manufacturing and recycling will get a boost. ,
The current import duty on aluminum and aluminum products is 10%. Aluminum, a ductile metal that retains its elemental properties even when recycled, is widely used.
FICCI said in a statement, however, that in recent years, there has been an increase in subpar aluminum imports, especially from China, which currently accounts for over 85 per cent of downstream aluminum imports.
moreover, India It is also looking at aluminum imports from the US, UK, Malaysia and the Middle East. Many of these countries support their domestic industries with concessions and benefits, including low-interest loans and cheap electricity rates.
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The aluminum industry in India is grappling with falling global demand, rising production and logistics costs, flood of imports and declining market share.
Currently, more than 60 per cent of India’s aluminum demand is being met through imports.
FICCI has also sought rationalization of inverted duty structure from 7.5 per cent to 2.5 per cent on several key materials to encourage domestic manufacturing and combat dumping of imports.
It has also recommended abolition of cess on coal to support highly power-intensive industries such as aluminium.
Finance Minister Nirmala Sitharaman is going to present the Union Budget in the Lok Sabha on 1 February.
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(This story has not been edited by News18 staff and is published from a syndicated news agency feed)