Indian Steel Ministry demands reduction in excise duty

Indian Steel Ministry demands reduction in excise duty

Indian Steel Ministry has demanded excise duty on non-alloy steel to be reduced from 12% to 8% under its pre-recommendations to the Finance Ministry. As previously reported by SteelOrbis, the government increased excise duty on steel by 4% in the first budget. However, the excise duty was previously reduced from 16% to 8% in order to prevent further price hikes. Steel Ministry stated that the reduction in the excise duty will lower steel costs, which will eventually lead steel prices to come down. However certain analysts claim that the move will not reduce prices. Steel Ministry has not demanded any change in the customs duty structure on steel.