MIP on steel products may not get extended after Oct 4

The Commerce Ministry may not be extending the minimum import price (MIP) on certain steel products beyond October 4 as these items could be covered under anti-dumping duty, after it completes the anti-dumping investigations on the 66 steel products on which MIP has been imposed and extended till October 4. The commerce ministry may take the decision considering the World Trade Organization (WTO) compliant measures like anti-dumping duty that should be used to overcome the issue of cheap imports of commodities like steel.

Earlier, the government had extended the MIP on 66 steel products for two months. The 66 products included semi-finished ones of iron or non-alloyed steel, flat-rolled products of different widths, bars and rods. Growing imports from steel surplus countries like China, Japan and Korea with predatory prices have been a major concern for the domestic industry since September 2014.

To guard domestic steel producers against cheap in-bound shipments, the government in February had imposed MIP, ranging between $341-752 per tonne, on 173 steel products for a period of six months. Prior to February also, the MIP was imposed for a period of six months. Indian Steel Association has been asking the government to extend MIP on steel products, saying its imposition has marginally improved the industry's viability after a long period of subdued prices.