The New Nation - Internet Edition

UNB, Dhaka

Steel and re-rolling millers have demanded waiving duty on melting scrap as has been done by India in its new budget to keep the price down.

India has withdrawn 5 percent duty on iron, steel melting scrap and aluminum scrap and the excise duty slashed to 14 percent from 16 percent.

The measure has been taken in view of international price of copper that more than Doubled to $500 per ton over the past one year and price of aluminum gone up by about one-third giving significant rise in the domestic market.

General secretary of Bangladesh Steel & Re-rolling Mills Association Sheikh Masadul Alam Masud demanded similar measures as were taken in India to keep the steel products down in the domestic market.

He said in the exiting framework, the duty is 10 percent on the import of raw materials - melting and re-rolling scraps.

Similarly, he said, the duty on chemicals used in steel industry is as high as 28 percent that contributed to the high price of their products.

MS rod price has now gone up to Tk 60,000 per ton as against below Tk 40,000 a few months ago.

The annual demand of MS rod in Bangladesh is estimated at about 23 lakh tons for construction works, which are supplied by about 100 steel and 300 re-rolling mills.

The steel and re-rolling millers produced the steel from imported melting scrap and scraps of old ships.