<p>Ahead of the Budget, the Indian Stainless Steel Development Association (ISSDA) has urged the government to remove import duty on ferro-nickel and stainless steel scrap.</p>.<p>Currently, ferro-nickel and stainless steel scrap attract basic customs duty (BCD) of 2.5 per cent.</p>.<p>In its recommendations to Finance Ministry for the upcoming Budget for the financial year 2021-22, ISSDA has also sought removal of import duty on graphite electrodes.</p>.<p>ISSDA said, "it has appealed to exempt the 2.5 per cent BCD levied while importing key raw materials, including ferro-nickel and stainless steel scrap".</p>.<p>At present, both the raw materials are unavailable in the country, making their import mandatory, it said.</p>.<p>Removal of duty on ferro-nickel and stainless steel scrap is a long-standing demand of the industry. The Ministry of Steel has also at times batted for zero duty on these items.</p>.<p>Stainless steel industry meets the bulk of its nickel requirements through ferro-nickel and stainless steel scrap route.</p>.<p>ISSDA has also sought removal of existing 7.5 per cent import duty on graphite electrodes, a critical component in stainless steel manufacturing which constitutes a major share of input cost.</p>.<p>Besides, it has sought an increase in import duty on stainless steel flat products to 12.5 per cent to bring it at par with carbon steel products and check undue imports.</p>.<p>These measures will not only boost domestic manufacturing but also curb "undesired" stainless steel imports, it said.</p>.<p>ISSDA President K K Pahuja said, "Stainless steel industry is ready to contribute to the 'Atmanirbhar Bharat' vision. This is the optimum time for the government to stop considering essential raw materials as a source of revenue and provide stimulus to domestic manufacturing by exempting duties on importing critical raw materials."</p>.<p>The suggested measures, if taken, will improve the competitiveness of the domestic industry and in turn, provide impetus to the MSME segment, which has a 40 per cent share in the domestic stainless steel industry, he added.</p>.<p>Additionally, undue imports have harmed the domestic industry which is operating at 60 per cent of its capacity and is financially stressed after COVID-19 related disruptions, Pahuja said.</p>.<p>"We request the government to rationalize the duty structure in order to catalyze the revival of this sector that has immense potential to generate additional jobs," he said.</p>
<p>Ahead of the Budget, the Indian Stainless Steel Development Association (ISSDA) has urged the government to remove import duty on ferro-nickel and stainless steel scrap.</p>.<p>Currently, ferro-nickel and stainless steel scrap attract basic customs duty (BCD) of 2.5 per cent.</p>.<p>In its recommendations to Finance Ministry for the upcoming Budget for the financial year 2021-22, ISSDA has also sought removal of import duty on graphite electrodes.</p>.<p>ISSDA said, "it has appealed to exempt the 2.5 per cent BCD levied while importing key raw materials, including ferro-nickel and stainless steel scrap".</p>.<p>At present, both the raw materials are unavailable in the country, making their import mandatory, it said.</p>.<p>Removal of duty on ferro-nickel and stainless steel scrap is a long-standing demand of the industry. The Ministry of Steel has also at times batted for zero duty on these items.</p>.<p>Stainless steel industry meets the bulk of its nickel requirements through ferro-nickel and stainless steel scrap route.</p>.<p>ISSDA has also sought removal of existing 7.5 per cent import duty on graphite electrodes, a critical component in stainless steel manufacturing which constitutes a major share of input cost.</p>.<p>Besides, it has sought an increase in import duty on stainless steel flat products to 12.5 per cent to bring it at par with carbon steel products and check undue imports.</p>.<p>These measures will not only boost domestic manufacturing but also curb "undesired" stainless steel imports, it said.</p>.<p>ISSDA President K K Pahuja said, "Stainless steel industry is ready to contribute to the 'Atmanirbhar Bharat' vision. This is the optimum time for the government to stop considering essential raw materials as a source of revenue and provide stimulus to domestic manufacturing by exempting duties on importing critical raw materials."</p>.<p>The suggested measures, if taken, will improve the competitiveness of the domestic industry and in turn, provide impetus to the MSME segment, which has a 40 per cent share in the domestic stainless steel industry, he added.</p>.<p>Additionally, undue imports have harmed the domestic industry which is operating at 60 per cent of its capacity and is financially stressed after COVID-19 related disruptions, Pahuja said.</p>.<p>"We request the government to rationalize the duty structure in order to catalyze the revival of this sector that has immense potential to generate additional jobs," he said.</p>