Steel Minister Ram Vilas Paswan on Wednesday said the government may impose five per cent import duty on cheaper shipments and scrap exports levy of up to 15 per cent as demanded by industry majors like Tata and SAIL.

The steel ministry would meet with the executives of steel industry on October 17 to discuss the matter.  Tata, SAIL, Essar Steel, and Ispat have asked the ministry to scrap duty as their margins are decreasing due to decrease in international prices of steel. The steel demand is decreasing in the country as automobile and real estate industry is importing steel at cheap rates from countries like China and Ukraine.

Paswan said that the steel companies helped the government to tame the inflation by not increasing steel prices. Now, the government would ensure their interests in the wake of global financial crisis.

Industry body, Assocham already demanded removal of export duty on all steel products and imposition of 5 per cent import duty on steel. It also asked for re-imposition of 14 per cent countervailing duty on imports of steel bars and structural steels to check cheaper imports.