Indian chrome ore miners have sought a reduction in the 30 percent export duty in the national budget 2018-19, scheduled to be placed before India's parliament on February 1, a government official said on Friday, January 26, citing a representation received by the Ministry of Finance from the industry.
The official said that chrome ore miners have pointed out that, in view of the high export duty, high grade chrome ore, a scarce mineral, is being exported after being misdeclared as ferrochrome, as the latter did not attract any export duty.
Hence, the industry has sought that the national budget either reduces export duty on chrome ore or that a matching export duty should also be imposed on ferrochrome to ensure a "level playing ground", the official said, citing the chrome ore industry's pre-budget memorandum to the Ministry of Finance.
The export duty on chrome ore was abolished in the national budget for 2016-17 but was reintroduced in course of the same fiscal year by the government in response to claims made by domestic ferrochrome producers regarding shortages of domestic supplies of ore and rising exports.