Raise import duty on petchem: Trade body SOS to govt

Fearing that countries like China may take advantage of low import duty to dump petrochemical products in India, a top trade body has sent an SOS to the government seeking a hike in customs duty to protect the domestic industry and jobs.

- Press Trust of India

NEW DELHI:

The Petrochemicals and Plastic Committee of the Federation of Indian Chambers of Commerce and Industry (FICCI) has written to the Ministry of Chemicals and Fertilisers seeking a hike in customs or import duty on polypropylene and polyethylene - vastly used in automobiles, packaging, agriculture, electronics and medical devices as well as in construction - from 7.5% to 12.5%.

India is short on petrochemicals. Taking into account the capacity additions announced so far, the projected deficit of polypropylene and polyethylene is likely to reach 12 million tonne per annum or $12 billion at current price levels by 2030.