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Disappointment over Indian scrap duty changes

India – The government of India has issued two customs notifications which confirm an increase in import duty from zero to 2.5% on aluminium, ferrous and stainless steel scrap. Furthermore, the special additional duty of customs (SAD) on brass scrap has been hiked from zero to 4%.

The Metal Recycling Association of India has expressed its disappointment over these moves and has told government officials that the measures will hinder the use of metal scrap. Some experts have criticised the timing of these changes which follow industry discussions with government about the possible abolition of import duties on scrap given mounting competition from semi-finished producers in the ASEAN countries (Association of Southeast Asian Nations) who are not required to pay duties in connection with their own raw material imports.

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