Govt to retain duty on imports - Rubber Board

MUMBAI (Reuters) – The government will not cut import duty on natural rubber imports, Trade Minister Anand Sharma told to a group of ministers from Kerala in a meeting on Wednesday, Rubber Board chairman Sajen Peter, said in a statement.

Kerala is the biggest rubber-producing state in the country.

Peter, who attended the meeting, said the minister has assured the delegation that the twenty percent import duty would stay and if the government decides to cut the duty it will implement the recommendations of expert panel constituted under the directive of Delhi High Court.

The panel had recommended that the import duty be retained at 20 per cent, but a maximum ceiling of 20.46 rupees be fixed, which is based on the average domestic price of rubber for the last three fiscals.

Rubber consumers have been demanding lower tax on imports after domestic prices jumped on robust demand from tyre industry and the gap between local and international prices widened.

(in.reuters.com)