Question : BAN ON IMPORT OF CERTAIN ITEMS



(a) whether Indian farmers/manufacturers/traders are facing lot of problems due to increased imports after removal of quantitative restrictions and whether domestic industries including Small Scale Industries are likely to be affected as a result thereof;

(b) if so, whether the Government are considering to re-impose the ban/restrictions on the import of certain items on the basis of requests of manufacturers/traders/farmers;

(c) if so, the names of such commodities;

(d) the time limit of ban/restrictions;

(e) if not, the alternate measures being taken by the Government to save the domestic industries from the bad effect of such imports;

(f) whether there would be any effect on country`s economy as well as on the industrial production by imposing such ban; and
(g) if so, the details thereof?

Answer given by the minister



MINISTER OF COMMERCE & INDUSTRY ( SHRI MURASOLI MARAN)

(a) to (g) Apprehensions have been expressed in certain quarters regarding the likely adverse impact of removal of Quantitative Restrictions on domestic farmers/ manufacturers. India has been following a continuous policy of removal of restrictions on imports since 1991. It is seen from the overall import data for the period 1993-94 to 1999-2000, that freeing of imports during this period has not had any significant impact on the average rate of growth of imports.

In view of India`s international commitments the quantitative restrictions on imports maintained on account of Balance Of Payment reasons may not be re-imposed. However, Government is absolutely determined to ensure through appropriate use of the tariff and other available mechanisms that imports do not cause any serious detriment or injury to the domestic industry due to removal of import restrictions. Towards that end, Government has increased duties on a numbers of items where a surge in imports was noticed or apprehended. Government has also constituted an Inter Ministerial Group under the chairmanship of Commerce Secretary, to assess the likely impact of removal of quantitative restrictions and to suggest suitable corrective measures. Besides, a Group of Ministers has been entrusted with the task of suggesting ways and means for empowering the SSI sector.