Import duty slashed to 2% for nickel - Stainless Steel May Get Cheaper By Up To Rs. 4, 000 Per Tonne
The government on Thursday cut the import duty on nickel from 5% to 2%. This would have a significant impact on stainless steel makers. As a result, stainless steel prices could fall by about Rs.3, 000 - 4, 000 per tonne if the producers pass on the benefit of cut in customs duty on nickel.
Stainless steel makers have been affected by a sharp rise in price of nickel over the last year when it nearly doubled from the last year when it nearly doubled from $26,000 per tonne to $50,000 per tonne. The price of nickel has been shooting up in the price of nickel has been shooting up in the international market buoyed by the stainless steel demand from China.
"Though the government's move to reduce the duty will help manufacturers, the bigger concern is the global increase in price of nickel. Already, companies in different countries are looking to new grades to reduce consumption of nickel."
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