NEW DELHI: In order to protect domestic steel industry from below-cost imports, government today extended further the minimum import price (MIP) on 19 products for two months, till February 4.
"The Central Government hereby extends the applicability of MIP beyond 04/12/2016...for further two months, i.e., till 4th February, 2017," the Directorate General of Foreign Trade said in a notification.
The MIP ranges between $ 643-752 per tonne.
The 19 products include semi-finished products of iron or non-alloyed steel, flat-rolled products of different widths, bars and rods.
To guard domestic steel producers against in-bound shipments that are sold at below-cost rate, the government in February had imposed MIP, ranging between $ 341 to $ 752 per tonne, on 173 steel products for six months.
The government in August decided to extend the minimum import price (MIP) on 66 steel products for a period of two months as against 173 items earlier. This was further extended for two months in October, till today.
Steel makers had asked the government to extend MIP on certain products, saying its imposition has marginally improved the industry's viability after a long period of subdued prices.
Accelerating imports at predatory prices from steel surplus countries like China, Japan and Korea have been a major concern area for the domestic industry since September 2014.
Post the imposition of MIP in February, the industry has been able to marginally improve viability after a long period of subdued prices and eroded profit margins, Indian Steel Association had said.
Source: economictimes.indiatimes.com