The Industry has sought following initiatives by Government on urgent basis:

•             Industry Status and Policy to Metal Recycling Sector: Policy to be framed to promote the sector such as Recycling zones / clusters, incentives, Subsidies.

•             Exemption of Special Additional Duty (SAD): SAD of 4% has to be exempted for recycling sector as it adds to the tax burden that is passed as CENVAT credit which remains unused

•             Amending the CENVAT Act: To allow SAD Refund for companies filing closure and Cenvat Credit to be allowed for adjustment against fresh import, if not utilized within 90 days

•             Removal of Basic Import Duty: Basic Customs duty levied on imports of Ferrous & Non Ferrous Scrap to be removed as Indian manufacturers stand to lose market share vis a vis other emerging countries due to higher import tariff on metal scrap

•             Inverted Duty Structure on account of FTAs (Foreign Trade Agreements) needs to be corrected: FTAs with partner countries to be corrected to avoid inverted Duty structure - Raw materials cost higher than imported semi / finished metal products.
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