The union government, in a big respite to common users, defered the decision to impose safeguard duty on steel items such as hot rolled coils/sheets/strips.

Mr. G.K. Pillai, Commerce Secretary, said, “We felt that not enough homework had been done and there is a need to consult both the domestic industry and other interested parties concerned. We have asked the Directorate General on Safeguards (DGS) to consult the domestic user industry and come back to the board after 60 days (with recommendations).”

The Steel Secretary, Mr. P.K. Rastogi termed the DGS proposal to levy 25 import on steel items as “insufficient” and said that there is no urgency to impose safeguard duty on steel under prevailing market conditions.

Mr. Rastogi added that there is no threat to local industry as there is a semblance between domestic and international steel prices.

Meanwhile, a spokesman for Ispat Industries said, “We were expecting a decision. Imports were being allowed at very low prices.”

Earlier, Ispat Industries and Essar Steel has requested the government to impose safeguard duty on hot rolled coils/sheets/strips and the move was also supported by JSW Steel and Steel Authority of India as increase in import adversely impacted their business during last months.