Export cess on steel

10/05/2008 12:00 - 881 Views

India - While the government has taken the approval of the House to impose up to 20% export duty on steel, it has imposed variable duty at the rate of 15%, 10% and 5% depending on value addition and the consumption of products in the domestic market.

Besides, basic customs duty on hot-rolled coils and cold-rolled coils has been reduced from 5% to nil. Imports of inputs like zinc, ferro alloys and met coke, used in the production of steel, have also been exempted from customs duty.

Countervailing duty on TMT bars and structurals commonly used for construction of houses has been scrapped, to augment supply via imports.

Export duty has also been imposed on basmati at the rate of Rs 8,000 per tonne even as its minimum export price (MEP) has been reduced roughly by the same amount, from $1,200 per tonne to $1,000 per tonne.

The move is expected to cool prices of rice that have risen by 20% over the past year. Customs duty on skimmed milk powder has been cut from 15% to 5% for a Tariff Rate Quota of 10,000 tonnes per annum.

4 May, 2008, 0053 hrs IST, TNN

Source: economictimes.indiatimes.com