Govt Should Encourage Production Of Synthetic Rubber: AIRIA
(MENAFN- KNN India)
Govt should encourage production of synthetic rubber: AIRIA Mumbai, Jan 6 (KNN) The government should encourage the production of rubber EPDM (ethylene propylene diene monomer) as its prices have doubled due to the pandemic, the Russia-Ukraine war and fluctuations in exchange rates, said All India Rubber Industries Association (AIRIA) president Ramesh Kejriwal.
In a memorandum to the Union government, AIRIA said that the government should not only encourage production of rubber EPDM, which is synthetic rubber, but also reduce the import duty on it for short-term.
The association also urged the government to remove the import duty on natural rubber and to not impose any further restriction on import of compound rubber, according to a report in the Hindu.
It pointed out that the industry imported 1,12,500 tonnes in 2021 under“4005 Compounded rubber, unvulcanised, in primary forms or in plates, sheets or strip” category to make products such as conveyor belts, hoses, O ring and profiles. The current on it is basic duty 10per cent, IGST 18 per cent, and surcharge 10 per cent.
“The import duty on natural rubber is at present basic duty 25 per cent, additional duty 5 per cent, and surcharge 10 per cent. Indian production of natural rubber does not meet the demand (consumption) of 12.38 lakhs tonnes (2021-2022),” he said.
So keeping this in view, centre should take steps for the removal of import duty to provide relief to the local industry.
(KNN Bureau)
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