EXPORT IMPORT DATA

Date : 27-Dec-2012
Subject : Reduce export duty on iron ore fines to 5 pc in Budget: FIMI

NEW DELHI: Miners' body FIMI has pitched for a drastic reduction in export duty on low-grade iron ore to 5 per cent from the present 30 per cent saying that the current rate has rendered shipments unviable.

"We have requested the government to slash export duty on iron ore fines in the Budget to the level it existed prior to March 2011, at five per cent," R K Sharma, Secretary General, Federation of Indian Mineral Industries (FIMI), said.

Export duty on the key steel-making raw material has gone up progressively from zero in FY09 to five per cent in FY10, to 20 per cent in FY11 and to 30 per cent in FY12, he said, adding "such high duty has rendered exports unviable."

"The export duty of 30 per cent on iron ore fines is deterrent to the effective functioning of the Indian mining industry," he added.

Fines, having low iron content, constitute around 92 per cent of the total iron ore exports, which stood at 60 million tonnes in 2011-12, down 39 per cent over the previous fiscal.

There is hardly any domestic taker for fines in absence of the necessary technology to use them for iron making. But, fines are inevitably generated as a co-product while producing Calibrated Lump Ore, which are used by domestic steel makers.

"The ratio of lumps to fines generation is around 30:70. So for every tonne of production of lumps, about two tonnes of fines are produced," Sharma said.

"Unless fines are evacuated from the mines, there cannot be further production of lumps for supply to the domestic user industries. This has resulted in a fall in production as mines pit are clogged with fines. Stocking of these fines for a longer period would create environmental hazards," he said.

The high duty on exports has also left India losing its competiveness in the global markets. India's share in iron ore export to China have come down from 20 per cent in 2007 to 11 per cent in 2011 and further down to eight per cent in the first half of 2012.

Source:-economictimes.indiatimes.com


Welcome Guest
User Login
Username or Email
Password
» Register Now
» Forgot Password ?

Cybex in media









Enquiry Form
Name*
Company Name
Company Address
Phone*
Email*
Products
Information Sought
Image Verification
*Compulsory Fields

EXIM NEWS - EXPORT IMPORT
  • Rubber Growers Demand Sops From Government
    The Centre Should Urgently Step In To Give An Export Price Incentive Of At Least R5 Per Kilo For Indian Rubber, Leading Growers Of The Commodity Have Said.
  • Budget 2017: Steel Min Seeks Import Duty Reduction On Coking Coal, Nickel
    New Delhi: Ahead Of The Union Budget 2017-18, The Steel Ministry Has Sought Reduction In Import Duty On Both Coking Coal And Nickel -- Vital Components Of Steel Making -- A Move That May Revive The Sector, A Top Official Said.
  • India’S Oilmeal Exports Jump 130 Per Cent In December
    India’S Export Of Oil Meals More Than Doubled In December 2016 Mainly Driven By High Demand Of Non-Genetically Modified (Gmo) Soybean Meal From France, Said Solvent Extractors’ Association Of India. Read More At: Http://Economictimes.Indiatimes.Com/Articleshow/56420322.Cms?Utm_Source=Contentofinterest&Utm_Medium=Text&Utm_Campaign=Cppst
  • Import Duty Hike May Hit Jewellery Exports To Dubai
    Several Exporters May Even Set Up Shop In Dubai, As Jewellery Made There Falls Outside The Duty Net
  • Indian Rupee Closes Little Changed Against Us Dollar
    After Erasing Most Gains, The Indian Rupee Closed At 68.18 A Dollar, Up 0.03% From Monday’S Close Of 68.21
  • Top 10 Farm Exports: Cotton No Longer Key In Farm Story
    For The First Time Since 2005-06 When India Became A Major Exporter Of Cotton Following A Large-Scale Adoption Of Bt-Seeds, The Fibre Has Failed To Be On The List Of The Country’S Top Ten Farm Export Items.
  • Imported Gold Worth $2 Billion Used For Conversion From November 11-20
    Mumbai: The Latest Estimates Of Gold Imports By A Leading Industry Source In The Days Following Demonetisation Shows That Certain Entities In The Gold Trade, In Possible Collusion With Some Bankers, Helped People Convert Their Black Money To Gold Bars And Jewellery.
  • Car Exports Gain Speed, On Track In Fy17
    Prospects Of A Double-Digit Growth In The Domestic Passenger Vehicles Market In The Current Financial Year Look Uncertain After Demonetisation But A Stronger Growth Story In The Export Market Seems Intact. Passenger Vehicles (Cars, Vans And Utility Vehicles) Exports Are On Track To Hit A New Record In Fy17, As Shipments Continue To Post Strong Double-Digit Growth.
LATEST NOTIFICATIONS