Scrapping of Export Duty Leads to Fear of Dumping Among Ferro Chrome Makers in India

The Indian union government has taken the decision to lift the 30% export duty on chrome ore and chrome ore concentrates, giving rise to anxiety among the ferro chrome manufacturers. They fear dumping of cheap ferro chrome from China and Malaysia under the Free Trade Agreement (FTA), destroying value addition. The 30% export duty was prevalent since March 2012. Export of chrome ore from India has reduced from 33.28% of annual output in 2007 to 4.89% in 2014. Chrome ore production in the country touched a high of 3.3 million tonne (mt) in 2007, falling gradually to 0.54 mt in 2014-15 and 1.92 mt in 2015-16. Similarly, chrome ore exports from the country reached an all-time high of 0.11 mt in 2007 and finally fell to a low 94,000 tonne in 2014. Chrome ore is a scarce resource and export duty was imposed in 2007 with a view to conserve it for domestic value addition which has a multiplier effect. Presently, the country has only 0.6% of the global chromite reserves.

Read Full News At: http://www.researz.com/scrapping-export-duty-leads-fear-dumping-among-ferro-chrome-makers-india

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