Private steel producers today opposed the government’s move to suspend export incentives like DEPB benefits, saying this was a ‘‘retrograde’’ step.‘‘In the country there is a surplus capacity over demand and that has to be exported. Therefore, suspending DEPB like benefits would hurt the steel producers,’’ said J. Mehra, spokesperson of Essar Steel.He, however, welcomed the reduction in excise duty and said that this would help the demand go up and also help the end user industry, especially the construction industry.When contacted, SAIL Chairman V.S. Jain said: ‘‘We are very strong believers that there should be stability in prices’’. ‘‘All these measures taken by government would certainly help in stabilisation of prices in the country,’’ he added. ‘‘The reduction in excise duty would be passed on to the consumers,’’ Jain said, when asked whether the reduction in excise duty would help SAIL improve its performance.Tata Steel officials could not be contacted for comment, despite repeated attempts.‘‘There is a boom in the world market and we are also governed by the same rules of the game. Promoters of the steel companies should not succumb to such kind of pressures from the government,’’ said a private steel producer, on condition of anonymity.The government today notified a package including a drastic cut in excise and customs duties on the whole gamut of steel, iron and coal products. Central excise duty has been reduced virtually across the board, including pig iron, fero alloys and pellets, to eight per cent from the existing 16 per cent.
