Page 55 - Plastics News April 2023

IN THE NEWS

Govt rejects plastic industry’s demands over levy of import duty and quality
control order
he Department of Chemicals and According to participants, the DCPC According to a participant who
TPetrochemicals (DCPC), under officials sought suggestions from the briefed the proceeding of the meet-
the Ministry of Chemicals and Ferti- industry stakeholders but did not ing, the DCPC official asked industry
lizers, Government of India, rejected want to discuss the burning issues officials to discuss any issues other
the demand of the plastic industry val- such as the levy of import duty and than import duty either on polymer
ue chain for the imposition of import quality control orders. Unfortunately, or finished plastics products. Also,
duty on polymer imports and imple- industry participants did not have any the official requested participants to
mentation of a quality control order other issues, hence the meeting was avoid discussions on the quality con-
on value-added plastics. The DCPC feared to end in a few seconds with- trol order as notified by the Bureau of
on Thursday convened a meeting of out any discussion. But, the DCPC Indian Standards (BIS), and extended
industry stakeholders including pri- official finally agreed to discuss issues time-to-time. But, the industry play-
mary manufacturers of polymers and pertaining to the dumping of poly- ers urged the DCPC official to dis-
value-added plastics, trade associa- mers and finished value-added plas- cuss these topics only, given their
tions, and domestic promotion coun- tics products. Both have been hurting significance for the entire plastic value
cils. The meeting ended without any Indian producers for the last several chain.
concrete decision. years.

Rising imports of various grades of raw materials (US$ million)
Particulars Average monthly import for the Increase (%)
December - February period

Between FY2017- Between FY2022-
18 2023
and 2021-22 period
Linear low-density polyethylene (LLDPE) 18.67 64.45 245.23
Chlorinated polyvinyl chloride (CPVC) resin 29.43 89.45 203.96
Ethylene-alpha-olefin copolymers, having a 33.09 97.5 194.63
specific gravity below 0.94
Polymers of ethylene, in primary forms 29.45 80.73 174.1
Polyamide (6-12) nylon moulding powder, 27.04 68.72 154.12
flake chip

Polyethylene with a specific gravity of above 181.18 454.41 150.8
0.94
Low-density polyethylene (LDPE) 30.95 70.11 126.5
Suspension-grade PVC resin 221.29 480.51 117.14
Polypropylene 195.85 383.62 95.87
Source: Department of Chemicals and Petrochemicals

“While the domestic polymer produc- duty on polymers from the existing gued that the domestic producers are
ers raised sustained increase in import 7.5 percent to over 12.5 percent on being hit because of this import,” said
as they felt some countries dumping the products such as polyvinyl chlo- the participant.
the plastic raw materials continues ride (PVC), low-density polyethylene Data compiled by the DCPC showed
to India. Primary producers, there- (LDPE), linear low-density polyethyl- India’s import of linear low-density
fore, sought an increase in import ene (LLDPE), among others. They ar-
polyethylene jumped by over 245

PLASTICS NEWS 55
April 2023