Government Provision on Steel Exports

In the recent times the government has been taking a lot of steps on issues related to export of steel. The national government has been mulling over the removal of excise duties. This step has come after the Indian steel companies have been reducing the prices of the steel products in order to counter the inflation.

[br] The national government was supposed to come up with a decision in pretty quick time. The ministers at various levels of Indian government have also been discussing about this issue.

The manufacturers of steel have reduced the price of the flat products by four thousand rupees per ton and the worth of the structural steel and reinforcement bars by two thousand rupees.

The steel industry is expected to maintain the prices for a period of the coming two to three months so that their requests for lowering the excises on steel imports may be considered by the national government.

The notification to the Finance Ministry of the Indian government was absolutely important as if it had not been made the excise duty rate would have stayed at 20% like before. A certain amount of excise duty has already been levied by the Indian government as per the suggestions of the Finance Bill in some other areas. The Finance Bill had been approved by the Indian President and was passed in the latest session of the Indian parliament.

[br]The government of India has also been considering putting a stop to the export of steel from India and bringing down the prices of products made out of metals and metal alloys.

All this is being done in order to fulfill two motives – lowering and stabilizing the price of steel and also building up some resistance against the inflation that is supposed to be a major threat. In fact the rise of the inflation has been brought about, to a certain extent, by the increase in the prices of steel.