Union steel ministry has asked the finance ministry to remove the basic customs duty on ferronickel, a key raw material for stainless steelmakers, a senior government official said on Tuesday. The move will help stainless steelmakers to reduce their input costs.
The domestic stainless steel manufacturing industry meets the bulk of its nickel requirements through ferronickel and stainless steel scrap.
Earlier, the government had removed the 2.5 percent import duty on scrap for a limited period till March 2023.
The government is aware of the challenges the Indian stainless sector is facing. Raw material availability is one of the major challenges in front of the industry, additional steel secretary Rasika Chaube told.