Premium
This is an archive article published on July 1, 2009

Aluminium scrap importers to approach Centre for rollback of duty

Importers of aluminium scrap have decided to approach the Centre to seek rollback of the proposed safeguards duty on aluminium scrap,saying this would increase input costs for recycling units.

Importers of aluminium scrap have decided to approach the Centre to seek rollback of the proposed safeguards duty on aluminium scrap,saying this would increase input costs for recycling units.

The proposed duty will hit nearly 7,000 units in Gujarat,including 3,000 in Ahmedabad alone.

Dr Kishore Purohit and K B Agrawal of the Ahmedabad Non-ferrous Metal Exim Association (ANMA) said they will meet Dinsha Patel,Minister of State for Medium and Small Industries,with the plea to reconsider the proposal. If implemented,the proposal is likely to render 10,000 people,most of them in the unorganised sector,jobless.

Story continues below this ad

They told reporters here on Tuesday that the safeguard duty being imposed at the behest of domestic producers will mean a jump of Rs 5 to 10 per kilogram of imported aluminium scrap,which will blunt the competitive edge of importers and subsequently that of recycling units.

As much as 7,500 tonnes of scrap is used a month in Gujarat of which nearly 4,000 tonnes is consumed in Ahmedabad itself.

ANMA is of the opinion that there is no problem in imposing safeguards duty on the import of finished aluminium products like alloy,coils and foils,among others.

It said last week’s decision to impose 30 per cent duty on the import of aluminium foils from China was a welcome step against dumping of unwrought aluminium and its value added products.

Story continues below this ad

It said that recycling of aluminium scrap used only two per cent of the energy consumed in producing unwrought aluminium.

Stay updated with the latest - Click here to follow us on Instagram

Latest Comment
Post Comment
Read Comments
Advertisement
Loading Taboola...
Advertisement