Customs -Export Duty on Chromium - Exemption Withdrawn
IN Budget 2016, Export duty on chromium ores and concentrates, all sorts [2610] was reduced from 30% to Nil by Notification No. 15/2016-Customs, dated 01.03.2016 [new S. No.24BA of Notification No. 27/2011-Customs, dated 01.03.2011].
This was not a welcome move for the Indian Stainless Steel Industry. Jindal Stainless said that it would lose Rs. 300 Crore annual revenue. The industry's argument was that Removal of export duty would only encourage traders to mine the valuable resource and export it. This would lead to a demand-supply imbalance and increase the domestic chrome ore prices." This will result in increased prices of domestic ore and in return, production cost of ferrochrome will rise, which will impact the cost of production of stainless steel.
Government seems to have heard the Steel Industry's plea.Now this Sr. No. 24BA is omitted, means the 30% export duty comes back.
Notification No., Dated: May 26, 2016