MIP on Iron & Steel extended to 30 products
The Dollar Business Bureau
On February 5th the DGFT in a notification no., 38/2015-2020 said, that the Central Government had introduced MIP for six months against 173 HS Codes(iron and steel products). The MIP ranging from $341 to $752 per tonne was levied on 173 products of iron and steel products to protect the local steel makers of the country from getting hurt by the glut in cheap Chinese imports of steel. With the announcement, the local iron and steel industry was confident that a medium to short term imposition would be enough for it to compete by enhancing production. This was a move that the industry felt was a right step towards the Make in India promotion and welcomed it.
The latest notification no.- No.30/2015-2020 released today by the DGFT, wherein the MIP on 66 HS codes was extended for further 2 months till Dec 4th, 2016.
The latest notification by the DGFT sources say would only be extended to 30 products while the remaining 36 will be pushed under the anti-dumping duty ambit. The anti-dumping duty is WTO-compliant and levied for 5 years. The Govt has the option to impose MIP in TMT and Slabs if there is a drastic fall in the prices internationally, which is not happening currently.
It should be recalled that the Govt took a bold step of pushing 107 tariff lines into anti-dumping for 5 years, to save the trouble of imposing or removing MIP every couple of months. Of the remaining 66 lines (173-107), 15 have been issued for wire rods, and another 21 will be covered under coated sheets which will be issued in another fortnight, which leaves the total no. to 30 products that are basically TMT and slabs.
to success.