Question : Import of Agarbattis

(a) whether India has been importing raw bamboo sticks for Agarbatti units hitting the local producers, mostly tribal and marginal farmers;
(b) if so, the details thereof and the reasons therefor;
(c) whether the Ministry has placed import of raw Agarbattis under restricted category;
(d) if so, whether this restriction has helped in reviving hundreds of Agarbattis units and if so, the details thereof;
(e) whether the Government has also increased the import duty on bamboo sticks recently and if so, the details thereof; and
(f) whether the Government has restructured National Bamboo Mission focusing on the development of complete value chain of bamboo sector linking growers with consumers and if so, the details thereof?

THE MINISTER OF COMMERCE AND INDUSTRY
(SHRI PIYUSH GOYAL)

(a) to (e): The import policy of Agarbatti was amended from ‘Free’ to ‘Restricted’ on 31st August 2019. Further, Ministry of Finance vide notification No.27/2020-Customs dated 09.06.2020 has increased the import duty from 10% to 25% on round bamboo sticks used for manufacturing of Agarbattis. These measures have benefitted the local manufacturers who have increased production to cater to the demand for Agarbattis.
(f) : A restructured National Bamboo Mission (NBM) has been launched in 2018-19. NBM focuses on the development of complete value chain of bamboo sector to link growers with consumers starting from plantation, creation of facilities for collection, aggregation and processing, marketing, skill development and brand building in a cluster approach. The objectives of the NBM include increasing the area under bamboo plantation in non forest Government and private lands to supplement farm income, improving post-harvest management through establishment of innovative primary processing units, promoting product development by assisting R&D, entrepreneurship and business models at micro, small and medium levels and to rejuvenate the under developed bamboo industry in the country. As part of NBM, micro/medium incense stick making units are provided credit linked back-ended subsidy up to Rs. 25.00 lakh per unit with 100% of project cost support to Government sector and 50% of project cost support to Private sector.
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