MRAI urges govt to remove import duty from aluminium scarp

Industry body MRAI Thursday has urged the government to bring the basic customs duty on import of aluminum scrap to zero from 2.5 percent at present.

Material Recycling Association of India (MRAI), which represents the secondary aluminum players, also requested the government to take steps to improve the availability of scrap in the country.

"Aluminium scrap is the key raw material of aluminum recycling industry. It is mainly used in alloy ingots, castings which are further used in the automobiles industry and Deox which are used in a steel plant for deoxidation. The scrap is being heavily imported from outside the country which means there is a demand for it," MRI President Sanjay Mehta said.

The body requested the government to take steps to address concerns of the secondary aluminum industry, he said, adding "MRAI will also be submitting a memorandum with the DIPP Secretary next month".

"We make semi-products from scrap whereas semi-products are also entering India under FTAs (free trade agreements) and do these factors at times it becomes difficult for us to take out even our making cost," Mehta said.

MRI represents over 1,200 members of the country's ferrous and non-ferrous metals recycling industry.