THE high price of locally-made products over imported ones has made the All India Rubber Industries Association (AIRIA) to seek the removal of anti-dumping duties on imported raw materials, imposed by the Indian government.
It also says the industry needs 100,000 tonnes of natural rubber to be imported to keep up with growing
demand. According to the association, consumption of natural and synthetic rubbers is constantly increasing and availability is an issue even at high prices.
Aside from high interest cost and energy rates, the levy on carbon black and rubber chemicals has made products more expensive, causing small and medium-sized firms to close shop. Non-tyre industries, such as
footwear, have also felt the blow, as the levy on styrene butadiene rubber has made products more expensive, leading to a surge in imports from Nepal, Sri Lanka and China, says AIRIA.
Due to this, AIRIA has sought a waiver of customs duty on raw materials, such as butyl rubber, SBR grade 1500/1700 and other synthetic rubbers and polyester tyre cord.(PRA)
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