• UGI USER
  • Jul 22, 2024
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JSW STEEL URGES INDIA TO CURB STEEL IMPORTS

Why in the news?

  • JSW Steel’s Jayant Acharya calls for curbing low-priced steel imports and revisiting ASEAN FTA to protect domestic manufacturers’ profitability.
  • India imported 1.9 million tonnes of finished steel from April to June, a 28% increase year-on-year, causing domestic manufacturers to lower their prices.
source:medium

ASEAN–India Free Trade Area (AIFTA):

  • Formation: Free trade area among ASEAN and India.
  • Commencement: Effective from January 2010.
  • Objective: Facilitate trade, economic cooperation, and exchange of goods/services.
  • Elimination of Duties: Gradual removal of duties on traded goods.
  • Key Features:
    • Boosts economic relations and trade flows.
    • Reduces tariffs, creating an open market.
    • Promotes collaboration in investment, technology, and more.
  • Impact: Enhances regional economic integration and business environment.
What is Free Trade Agreement (FTA)?

  • Free Trade Agreement (FTA): Pact between nations to reduce import/export barriers.
  • Free Trade Policy: Minimal government tariffs, quotas, subsidies, or prohibitions.
  • Opposite of Protectionism: Promotes open international trade.

Key Government Initiatives for Steel Sector Growth:

  • PLI Scheme: Rs 6322 crore for specialty steel over 5 years to boost manufacturing and technology.
  • Green Steel: 13 Task Forces and National Green Mission for decarbonization and green hydrogen.
  • PM Gati Shakti: Integration of steel unit geolocations to enhance infrastructure planning.
  • Steel Scrap Recycling Policy: Framework for scientific processing and recycling of ferrous scrap.
  • National Steel Policy 2017: Roadmap for long-term industry growth by 2030-31.
  • Quality Control Order: Bans sub-standard steel, ensuring quality compliance.
  • Safety Guidelines: 25 guidelines aligned with global standards for the iron and steel sector.
  • National Metallurgist Award: Recognizes outstanding contributions in metallurgy.