To protect domestic industries from cheap imports, the government hasextended the minimum import price (MIP) on 66 steel products for a period of two months as against 173 items earlier.
The MIP ranges between $341752 per tonne.
"MIP for 66 (steel products) is extended till October 4 this year," Director General of Foreign Trade Anup Wadhawan said in a notification
yesterday.
The steel industry had been demanding for extension of the MIP.
When asked why the government has reduced the number of products, an official said: "We felt that only these 66 products require
protection. The commerce ministry is already investigating dumping of certain steel products."
The 66 products include semifinished products of iron or nonalloyed steel, flatrolled products of different widths, bars and rods.
To guard domestic steel producers against cheap inbound shipments, the government in February had imposed MIP, ranging between
$341752 per tonne, on 173 steel products for a period of six months.
On ingots and billets, blooms and slabs, the MIP reads $362, $352 and $341 per tonne, respectively.
On flatrolled products of iron or nonalloy steel of a width of 600 mm or more, clad plated or coated, the minimum prices will be $643 and
$752 per tonne on different items.
Similarly, bars and rods, hotrolled in irregularly wound coils of iron or nonalloy steel, the figure stood at $449 per tonne and $451 per
tonne on different products.
Prior to February also, the MIP was imposed for a period of six months.
India's imports of nonalloy steel rose 29.6 per cent between AprilDecember 2015 to 6.34 million tonne. Its total consumption of nonalloy
steel stands at 53.166 million tonne.
Indian Steel Association has asked the government to extend MIP on steel products, saying its imposition has marginally improved the
industry's viability after a long period of subdued prices.
Accelerating imports of predatory prices from steel surplus countries like China, Japan and Korea has been a major concern for the
domestic industry since September 2014.
Post the imposition of MIP in February, the industry has been able to marginally improve viability after a long period of subdued prices and
eroded profit margins, the association had said.
SOurce: Economic Times